No plans for Sega buyout, says Microsoft CEO

The fallout from Sega's ill-fated merger plans continues, with Microsoft chief executive Steve Ballmer commenting to a conference in the USA that the company has no intention of buying into the Japanese publisher.

Even after Sega very publicly rejected approaches from Namco and Sammy last month, rumours of interest from Microsoft continued to persist. "There are no plans for that," Ballmer is quoted as saying. "I don't think that will happen."

This, presumably, will lay to rest any talk of Microsoft making a bid for Sega - but the prospect of a deal with EA remains on the table. This would not be a buyout, however (Sega president Hisao Oguchi has stated publicly that the company will be restructuring itself independently), and would most likely be a sales alliance aimed at improving Sega's standing in the USA along with EA's standing in Japan.