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Sega repackaged its Japanese Mark III as the Master System for Western markets. Nintendo's exclusivity terms starved it of American software, but it sold strongly in Europe and Brazil and made Sega a credible console rival.
The episode showed that a competitive console could still fail for reasons having nothing to do with engineering. Access to publishers, not transistor counts, decided the outcome, a lesson Sega applied aggressively with its next machine and one that platform holders have kept relearning ever since.