The job cuts, which were made Thursday, involved marketing and quality assurance workers tied to the Dreamcast console, said Sega of America spokesman Charles Bellfield. Bellfield would not say how many jobs were cut but said there remain about 125 people working at the company's U.S. office in San Francisco.
"It was relatively a very small number," he said.
After a week of speculation and denials, Sega announced Wednesday that it would stop selling the Dreamcast as a standalone unit. The company said it would halt production and slashed the price to $99 to clear out the remaining supply. -- Ian Fried, Special to ZDNet News