Totally wrong. Dreamcast ultimately failed because ofOriginally Posted by minto
1) Sega's already tarnished reputation from the Saturn debacle,
2) Lack of support from EA Games/Sports (due to previous poor sales of Saturn games), and
3) Brand dominance of Nintendo (N64) and Sony (PS2)'s forays in the market.
You'll notice that Dreamcast sales were brisk in its first six months, then quickly plummeted once the PS2 came out.
Dreamcast was a great system that just didn't have the games, marketing, and brand appeal behind it to enjoy any sort of staying power. It does, however, still have a substantial cult following more than 5 years after it stopped production because of its modability, not despite it.