Sega was fucking terrible at the console business and they're better off not bothering. They had like one or two good years with the Genesis but then they fucked it all up with one stupid financial flop after another (Sega CD, 32X, GameGear).
Yeah this.
The genesis/megadrive was a good system, but Sega tried too much shit with it. I dunno if they were trying to keep up with SNES or whatever, but all of the add-ons to the Genesis were ridiculous. The Nomad was a very neat idea(I still have mine), but that thing drains batteries faster than anything I know.
I'd love to see them revive Sonic again.
Oh wait...
But I'd hate to see another company get into the business, especially now. I'm pretty sure we don't need 4 consoles.