Update:

Clarification: although the Sydney offices of Sega are closing, the Brisbane Studio is remaining open. We have reached out to Sega for comment - more info to come.

Original story:

Sega is closing its offices in Australia, the company announced this morning.

The closures are part of a restructure, following news in May that net income for the company was down almost 48 per cent.

Offices in France, Germany, Spain, and Benelux, are also to be shuttered.

“As a result of the recent restructure [Sega] will be shifting business to focus on developing new and existing digital content as well as driving key IP for packaged goods,” said a press release from Sega Europe.

From July, Koch Media will assist with Sega’s distribution across Germany, Switzerland, Austria, France and Spain, and Level03 Distribution and 5 Star Games will assist with distribution across Benelux and Australia respectively.

"SEGA is entering a new and exciting phase that will position the company as a content led organisation maximising sales with strong and balanced IP such as Sonic the Hedgehog, Total War, Football Manager and the Aliens franchise", said COO of Sega Europe, Jurgen Post.

"The company will benefit from a clear focus and realigned strategy for our digital business and packaged goods and we are confident that this will lead to a successful future."

Sega’s latest game is London 2012, the official video game of this year’s Olympics.