Sega used to be in the hardware business. And unlike Nintendo, whose early games came in cardboard boxes, the Sonic maker sold its physical cartridges in sturdy plastic cases. Decades after the company abandoned consoles following the launch of the Dreamcast, Sega president Shuji Utsumi said that history still means something, but also that the ongoing digitalization of gaming remains “crucial.”

“When it comes to titles we call ‘full games’ for consoles and PCs, we believe that a digital shift is crucial,” he said in an interview with Japanese publication Famitsu (via a translation by Eurogamer). “Of course, consoles are important, but the proportion of people who play on PCs is steadily increasing. Even in areas where consoles are not widely available, there are many people who say, ‘I can play it on PC.'”

Utsumi continued, “In order to cultivate that market, we believe it is important to strengthen our digitalization. We tend to think from a physical perspective, so I think we need to be more digitally conscious and become more global.”

What about physical packaging, Famitsu asked? “We were originally a platform provider, and of course, we still value the culture of physical media,” he responded. “Rather than completely abandoning that, we are currently challenging ourselves to shift so that we can think about and act on the important aspects of digital media in parallel.”

It’s important to note that these answers weren’t specifically asked in the context of Sony’s decision to end PlayStation discs in 2028, but rather Sega’s broader business perspective on the video game industry. But the answers do suggest that Sega, like other publishers, including Capcom, is increasingly focused on PC as the main pillar of its gaming business rather than home consoles.

As Ubisoft CEO Yves Guillemot noted on an earnings call this week, PC went all-digital many years ago, and has kept growing as a result. At least on PC, there are competing marketplaces, though DRM-free game releases still remain the exception rather than the norm.