Sonic Team
The initial team formed in 1990 and was composed of developers from Sega's Consumer Development division, including programmer Yuji Naka, artist Naoto Ohshima, and level designer Hirokazu Yasuhara. The team took the name Sonic Team in 1991 with the release of "Sonic the Hedgehog" for the Sega Genesis. The game was a major success that contributed to millions of Genesis sales. The next "Sonic" games were developed by Naka and Yasuhara in America at Sega Technical Institute, while Ohshima worked on "Sonic CD" in Japan. Naka returned to Japan in late 1994 to become the head of CS3, later renamed R&D #8. During this time, the division took on the Sonic Team brand but developed games that do not feature Sonic, such as "Nights into Dreams" (1996) and "Burning Rangers" (1998).
Sega Sammy Holdings
During 1985, Sega released "Hang-On", the world's first force feedback game. Sega Enterprises was registered stock on over-the-counter (OTC) market. In 1988, Sega Listed stock on the second section of Tokyo Stock Exchange. Within this year, Sega released the Sega Mega Drive/Genesis, a 16-bit home video game platform that solidified Sega’s presence in the console market. During this year, Sega also launched the R-360, the world's first amusement arcade cabinet could rotate 360 degrees in all directions. In 1991, Sega released "Sonic the Hedgehog" as a competitor mascot to represent Sega against Nintendo’s Mario, and with 15 million copies sold, Sonic the Hedgehog spawned multiple sequels over the years and became Sega’s flagship franchise.