The Second Party Strategy
Late January 1984. Due to button issues with their game controllers, Nintendo issued a recall for all units currently in circulation. With hundreds of thousands of units already sold and even more sitting in the inventories of wholesalers and retailers, they were effectively recalling nearly a million consoles. This aggressive recall policy by Nintendo inadvertently bolstered Nakayama’s efforts to recall the entire stock of the SG-1000; he could now argue, "If our rival is doing it, shouldn't we?" The major difference, however, was that Nintendo was in the process of improving their existing product, the Famicom, while Sega was scrapping the SG-1000 entirely to develop something new.
'Will it take about two years to develop?' It goes without saying, but a game console isn't something that pops into existence just because you make a plan. In manga or movies, a protagonist might propose a plan and have a prototype ready in two weeks, but in reality, that is absolutely impossible. However, Yoon-gi didn't think two years was a long time at all. After all, there was more than enough work to be done in the meantime.
At Choi Deok-bae’s words, Yoon-gi nodded and wrote the company name "Namco" on an A4 sheet of paper.
"Having a good memory is a real advantage at times like this."
At Yoon-gi’s remark, Choi Deok-bae nodded.
"I’m surprisingly not like that."
"I suppose that’s true."
"It’s terrifying."
"What exactly is this concept of 'over there' that Grandfather keeps mentioning? Is it the literal afterlife?"
Choi Deok-bae immediately put on an expression that drew a line in the sand.
"Hmm... well, you'll know when you die, won't you?"
At Yoon-gi’s joking remark, Choi Deok-bae wore a faint smile again and nodded.
"Shall we die?"
Choi Deok-bae looked toward the direction of Korea, and realizing what he was looking at, Yoon-gi pulled a jujube from his pocket.
"Why don't you show a little ancestral dignity?"
"No, you’d be better off controlling that strange desire of yours..."
Regardless, it wasn't a wrong statement, so Yoon-gi shrugged his shoulders and picked up the magazine again.
"Shall I bow?"
Seeing Yoon-gi quietly place the jujube on the table, Choi Deok-bae cleared his throat and smacked his lips.
"Have you seen this logo before?"
Only after identifying the logo through several magazines did Yoon-gi pick up the receiver.
The man who entered the reception room looked at Yoon-gi and was momentarily startled, but he soon regained his composure and bowed toward him.
"Hello. I am Maruoka Moriki, the Sales Director of Namco."
He appeared to be in his early 40s, with a round face and impressive nasolabial folds etched near his nose and lips.
"You can just call me Yoon."
Yoon-gi already held a significant amount of Namco stock. While he didn't own tens of percent, he held enough to secure a meeting with a Sales Director, which was why he had set up the appointment at Namco. Namco had been a powerhouse in arcades from the late 70s to the mid-80s. In the original timeline, after mid-84, Namco would hit the jackpot by porting their popular arcade games to the Famicom, but Yoon-gi was visiting them before that could happen.
"Understood, Yoon-nim."
The Sales Director, fearing he might offend a major shareholder, couldn't bring himself to voice his confusion about the gold mask. Of course, he wasn't entirely ignorant of Yoon-gi's identity. The current owner of the Namco shares wasn't Yoon-gi personally, but YK Department Store, and Yoon-gi was the real owner of that store. In other words, it was easy enough to find out basic personal information if one tried, and naturally, Maruoka had done his homework, so he knew Yoon-gi’s real name and age.
"Ah, this is a bit distracting, isn't it?"
As Yoon-gi pointed to his gold mask, Maruoka made a truly awkward expression. He couldn't tell whether he should laugh or not, and his expression became ambiguous.
"Ah... I apologize."
At Maruoka’s apology, Yoon-gi shook his head.
"No, it’s fine. The reason I’m wearing this gold mask isn't to look cool, but because I wanted to see if you were aware of recent trends."
"Ah... I am aware of that. I heard that there is a 'major shareholder in a gold mask' behind the Genesis Project that Sega is currently pursuing."
"As expected, there are no secrets in this world. At least in this situation, the rumors travel fast, which is convenient."
At Yoon-gi’s words, Maruoka gave a bitter smile and spoke again.
"I don't know the details of the Genesis Project, of course, but I am aware that you intend to create a groundbreaking game console."
"That’s right. That is why I came to Namco."
"So that was the purpose of your visit today."
"Yes. I want Namco to become a Second Party for Sega."
"A Second Party?"
The concepts of First, Second, and Third Party wouldn't be coined until after 1985; before that, whenever a console came out, anyone and everyone would make and sell games for it. It was natural for Maruoka not to understand, so Yoon-gi began to explain his concept.
"The Genesis Project intends to strictly manage game licenses. It will reach a point where whether or not a game passes Sega’s license will determine its success or failure."
"I still don't quite understand."
"It’s simple. I plan to classify 'First' as games made directly by Sega, and 'Third' as games made by companies other than Sega."
"Ah... I understand."
At the simple explanation, Maruoka nodded, and Yoon-gi continued.
"Here, 'Second' means an exclusive period. If Namco makes a game for the Sega Genesis, you won't be able to make that same game for other consoles for about three years."
"Isn't that... a one-sided loss for Namco?"
Yoon-gi shook his head.
"In return, Second Parties will receive preferential royalty conditions compared to Third Parties. This is the key."
"Well. If we were to make a Genesis game without any agreement and sell it ourselves, you wouldn't have any recourse, would you?"
"Of course I would. Putting a license on it means that unauthorized games cannot be distributed or sold. We wouldn't care about small companies that could move their business at a moment's notice, but would Namco really be able to do that? The moment Namco distributes and sells a game, Sega will file a lawsuit. Naturally, Namco’s public image would plummet to the bottom."
"Hmm..."
Maruoka’s expression clearly showed that he felt 'very uncomfortable,' and he soon asked Yoon-gi.
"Excuse me, but aren't you also a major shareholder of Namco? Why are you acting as if you want to harm Namco? Did you buy the shares simply to arrange a meeting like this? Are you holding them to hand over to a company that will perform a hostile takeover if we refuse?"
Maruoka’s discomfort was evident in his words. He wouldn't usually say such things, and the fact that he delivered such a direct, scathing remark meant that Maruoka currently held a very poor opinion of Yoon-gi.
"Of course not. I’m not that stupid."
At Yoon-gi’s soft smile, the blade in Maruoka’s expression dulled slightly.
"Then, what is your intention?"
"I want Sega and Namco to become partners. You know that I am very closely involved in the Genesis Project and can exert sufficient influence, don't you?"
"Yes, well, that is..."
"I am willing to let Namco know about one of the components going into the Genesis Project."
"...!"
Maruoka immediately realized what Yoon-gi was trying to say. 'If we assume the Genesis Project goes ahead, and Namco buys the stock of the company producing that component in advance, Namco could reap massive profits. This is... an opportunity!' Maruoka tried to hide his expression as much as possible, but he couldn't maintain the uncomfortable look from before, and Yoon-gi caught this change in Maruoka’s heart in an instant. If Maruoka had appeared wearing a gold mask like Yoon-gi, it might have been a bit better, but unfortunately, Maruoka’s bare face was fully exposed to Yoon-gi.
"What is it that you specifically desire?"
"Please ensure that Namco can develop games in line with the Sega Genesis launch date as the project progresses. Game development isn't something that happens in a short amount of time, is it?"
"That is true. Then, when are you planning the launch date...?"
"I expect it in two years."
"It’s late, but considering game development, it’s not exactly slow."
"Right. You won't have time to develop games for the Famicom."
"Hmm... are there no other conditions?"
"Sega Genesis will produce game cartridges directly. Of course, we plan to provide preferential treatment to Second Parties for this as well, so I don't think there will be any cost-related issues."
"Would it be alright if we discuss the specifics of that with our working-level staff later?"
"Of course. It’s only natural."
"Hmm... then I will discuss the proposal I heard today with my superiors and get back to you."
"Understood. I look forward to a positive response."
As Yoon-gi stood up, Maruoka hurriedly spoke to him.
"You aren't making this offer only to us, are you?"
"Of course not. The Sega Genesis wants many games. And wouldn't the companies that come forward first be able to secure the better components?"
No sooner had Yoon-gi finished speaking and left the reception room than Maruoka also left and began to run toward the president’s office.
Yoon-gi visited many companies, including Namco, Hudson, and Enix—which would later merge to become Square Enix. These companies all had one thing in common: YK Department Store held a meaningful amount of their stock. Because of this, meeting them was quite easy, and everyone replied that they would consider Yoon-gi’s proposal positively. However, as the Genesis Project became known externally, Yoon-gi’s movements were inevitably leaked to some extent, and Nintendo, the maker of the Famicom, began to react to the news.
"Hello. I am Fujita Isao, the Sales Director of Nintendo."
"Ah, yes. Welcome. I am Maruoka Takeshi, the Sales Director of Namco."
Namco had not yet given a call sign to Sega. Therefore, depending on the outcome of this meeting, Namco’s choice, which would drive the Famicom’s 1984, would be decided.