What ultimately did it in was the PS2 -- a superior console in virtually every respect, released just two years later (in the USA).
I beg to differ. Graphically it was, but it should be given it was two years younger. Sound quality it was too but honestly very few people would have noticed on the typical set up of that era.
However the Dreamcast has 4 controller ports built into the console itself, rumble packs from day one, a portable gaming unit (ok, that was a bit of a novelty), support for using your save games on actual arcades, easy way of sharing save games, online gaming (a good 4 years before the competition too!), downloadable content (which was typically free back then).
The Dreamcast was easily the more interesting console out of the two of them. If the reputation of the two companies had been equal then the DC would likely have won out. But the PS1 was already a proven success and Sega had messed their fans about with all the failed Megadrive /Genesis addons. So a great many gamers didn’t even give the Dreamcast a chance. In a sense, their expectations became a self fulfilling prophecy.
I was gutted when the DC failed. No console before nor since has really captured my imagination quite as much as the Dreamcast did. But ultimately I wasn’t surprised either because Sony had already won even before releasing the PS2. Few people cared about Sega (or Nintendo) at that point.
Of course, Sega pretty much invented this PR game with the Genesis and "blast processing" (https://en.wikipedia.org/wiki/Sega_Genesis#North_American_sa...), so in that respect they were kind of hoist by their own petard...
The argument I was proposing was that the mindshare was in anticipation of the PS2 because of how the PS1 vs Saturn war panned out. Gamers can be loyal pack animals and Sega had already lost their fan base before the DC was even released thanks to the success of the PS1.
> Dreamcast with ridiculous promises that really didn't pan out.
I don’t get your point there. Everything the DC promised to do it delivered on. Technically speaking it was a success - very much ahead of its time in a great many ways. It just didn’t sell.
That's not really true though because the requirements for online gaming were also lower back then. I agree people didn't have broadband but the DC's online games worked fine with a dialup modem and in fact it used a slower modem than was common in PCs at that era (33k baud as opposed to 56k) that people also used for online gaming.
> Most people never went to arcades (isn't the point of a console that you don't need to)
Consoles were always intended as a compliment to arcades, not a flat out replacement for them. Plus Sega often had a Crazy Taxi (or whatever) cabinet in student bars and other trendy places as well as the usual places dedicated for gaming.
> 4 ports is nice but an adapter fixes that easily,
I agree it's hardly innovative but it's yet another thing you need to buy. Another expense and another device you need to have the foresight of owning before your mates pop round with a handful of controllers. So I think the real question should be: "why the hell didn't the PS2 have 4 ports when every other console of that generation did (Gamecube, Xbox, Dreamcast)?"
The thing I remember as a kid was the hype for the PS2 building right as the Dreamcast was released. This was still in the era where most families would only have one console, so they ended up saving their money aiming for a PS2 instead of a Dreamcast.
I think if the Dreamcast was released sooner or later it would have done better than it did. Either before the PS2 hype, or closer to the PS2 so the hype died down a bit.
Except antialiasing