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This narrative has been pushed quite heavily by former Sega of America CEO Tom Kalinske, but it leaves a lot out. Kalinske claims the Japanese president of Sega, Hayao Nakayama, forced him to launch the Saturn in NA before Kalinske was ready, and because of that, the Saturn failed and Kalinske resigned shortly after. As always, it's best to approach with caution when CEOs are assigning blame for company failures under their tenure. The reality is far, far more complicated. Kalinske himself was against the Saturn going back to 1993, due to the predicted high cost of the console. This in turn led to the development of the 32X add-on for the Genesis as a low-cost entry into the 32-bit generation in NA, but the 32X failed spectacularly. Most relevant, however, is that Sega failed to adequately compete against Sony in terms of garnering third-party support, both in Japan and NA. This is discussed at length in the excellent book Revolutionaries at Sony by Reiji Asakura (English translation available). The Saturn was difficult to develop for and Sega did not have good development tools early on. Also worth reading is the recent account from former Sega president Hideki Sato, who was the head designer of the Saturn. He discusses many of the shortcomings of the console and Sega's strategy for it: https://www.sega-16.com/forum/showthread.php?33506-Hideki-Sa... |
Nobody knew what 3D hardware would look like in 1994, they were too busy inventing it. For example, the Saturn provides quads as your primitive, which seems weird to anybody looking at the Saturn today. The PlayStation and Nintendo 64 both used triangles.
You might have various reasons to prefer the Nintendo 64 or PlayStation, but from a developer's perspective, the main reason you would prefer the Saturn is probably because of its 2D performance. But a higher price point for better 2D performance is a tough sell.
It's also interesting to look at the different companies through the lens of what their strengths are. Sony has generally had pretty solid hardware design, Microsoft has generally made systems that are easier to develop software for, etc.