At the Nanco offices in Japan—now partially owned by ZAGE—owner Nando Michio couldn't be more delighted. Since back then when ZAGE and Nanco partnered, His team had been assigned numerous tasks focused on developing new arcade machines, a concept driven by both ZAGE's innovation and Nando's own passion for arcades. As an arcade enthusiast and the CEO of Nanco, he felt an overwhelming sense of joy seeing the creative energy flowing through the company. The collaboration wasn't just strategic; it was personal. For Nando, working on arcade development wasn't a job—it was a dream coming to life.
Now he is in his office, sipping coffee and smiling. "I knew it—joining forces with ZAGE was really worth it," Nando muttered to himself, a quiet chuckle escaping his lips. He leaned back in his chair, reflecting on how far things had come. Back in the day, before ZAGE and Nanco ever collaborated, Nanco was just a fledgling media company, uncertain about its place in the rapidly evolving tech landscape. They weren't even a video game company yet—just a name floating in the aftermath of the post-Atari crash, when the gaming industry had nearly collapsed.
But then came ZAGE. When Nando first saw ZAGE's arcade systems and their unique, boundary-pushing games, he instantly recognized a spark. It wasn't just about the hardware—it was about vision. He knew right away he had to work with the man behind it all: Zaboru Renkonan. That initial desire to collaborate laid the foundation for what would eventually become a formal business partnership. When ZAGE acquired 50% of Nanco's shares from Nando, it wasn't just a merger—it was a rebirth.
From that point forward, everything changed. The company's workload exploded, its market value surged, and its creative output hit new heights. Not only did Nando get to play a key role in the design and development of groundbreaking arcade machines, but he also had the rare pleasure of seeing Nanco evolve into a company that could stand toe-to-toe with the best in the industry. With ZAGE's titles as their creative reference, Nanco even started designing original arcade experiences of their own.
Their partnership went beyond machines—it became a global operation. Nanco took charge of handheld distribution for ZAGE's arcade platforms, building a reputation for reliability and efficiency.
It was a win-win. So far, the collaboration had produced incredible results for both parties. Yet, despite all the success, Nando couldn't ignore a strange tightness in his chest—a creeping unease that he couldn't explain. Something about the future felt uncertain, and he wasn't sure why.
"I can't help but think... what's the future of arcade cabinets?" Nando muttered, staring out the window with his coffee in hand. The thought had been gnawing at him for weeks. With the ZEPS 3 just recently released and already shaking the market, it wasn't just another console—it was a technological marvel. Capable of running advanced 3D games and being marketed as a 64-bit powerhouse, it was closing the gap between what was once exclusive to arcades and what people could now play at home. That reality was starting to weigh heavily on Nando.
He leaned forward on his desk, the excitement he once had now partially clouded by doubt. "If consoles can deliver what arcades once did... will people still care about arcade experiences? Or will they just stop coming altogether? Will arcades become obsolete?"
He exhaled sharply, running a hand through his hair. "But then again, arcades are more than just games—they're a space. A gathering point. A social experience that home consoles can't fully replicate... right?"
Still, the unease remained. He needed a clearer perspective—someone he trusted. "I need to talk to Zaboru-san about this," he said aloud, standing up with sudden urgency. Without wasting a moment, he picked up the phone and called Zaboru, requesting a quick meeting. The moment the call ended, Nando grabbed his coat and headed straight to ZAGE Tower, determined to find answers.
Thursday 6 July 1997 ZAGE tower.
Zaboru had just finalized the deal with Shonen Jump—a major acquisition that was already starting to draw quiet murmurs in the media. While the news hadn't officially broken yet, rumors were beginning to circulate. Still, for now, he set that aside. His focus had shifted to another important matter: a scheduled meeting with Nando.
Now Nando and Zaboru sat face to face in a private lounge within ZAGE Tower, the atmosphere relaxed but focused. Both wore casual attire, a rare break from their usual corporate suits, signaling the candid nature of their meeting. Nando took a deep breath, then spoke, "Zaboru-san, the reason I asked to see you today is because of a growing unease I've had—something that's been weighing on me for weeks. It's about the future of arcade cabinets. I keep wondering... are we heading toward a time when they become obsolete? Or can they continue thriving like they are now?
He leaned in slightly, voice more serious now. "Because when I think about how rapidly home consoles are evolving—especially with the ZEPS 3 being able to run impressive 3D titles and boasting 64-bit architecture—it feels like we're inching closer to parity. And when the difference in specs between home systems and arcade machines isn't that significant anymore, I fear the appeal of arcades might fade. What's your take on this, Zaboru-san?"
Nando deeply respected Zaboru—especially when it came to vision in the gaming industry—and he was eager to hear his thoughts for him Zaboru are God of Video games.
Zaboru was silent for a moment, processing the question. Then he smiled warmly. "You're right, Nando-san. The future of arcades does face uncertainty. As home consoles grow more powerful and capable, there's definitely a risk that fewer people will see a reason to visit arcades. It's a trend we can't ignore. But here's what gives me hope—and why I refuse to believe arcades will become obsolete.
"Arcades are more than just machines loaded with games. They're places—places where people come together. Families, friends, even strangers bonding over a shared experience. That social energy, that joy of playing side-by-side, is something home systems still struggle to recreate authentically. And arcade games themselves have always held a special aura. Unlike console or PC titles, they're purpose-built—tailored to the cabinet, the screen, the controls for specifics game. They're experiences you can't fully replicate elsewhere."
He leaned back slightly, confident. "That's why I won't let arcades fade away. I already have plans in motion—new ideas to reinvent what arcade experiences can be. So no, Nando-san, arcades won't die. Not on my watch."
Zaboru chuckled. "Well, I'm not going to reveal my secret plan just yet, but let's just say this—the current arcade landscape is dominated by fighting games. That's where the passion is, and it's where the most loyal players spend their time. People who grew up battling in arcades aren't going to walk away from that just because consoles are catching up. There's a sense of pride, a kind of ritual to it."
"They definitely love to compete in arcades or simply enjoy the experience. Whether it's casual matches or chasing the thrill of beating the best players around, their presence fuels the energy inside the arcade. It's that drive—whether for victory or fun—that keeps the atmosphere vibrant and the community alive."
Nando smiled and said, "I see, that makes sense." He chuckled with relief. "Then I can rest assured, knowing that if you're the one steering this, arcades won't become obsolete. Hahaha!"
Zaboru laughed with him, the atmosphere lightening after their serious talk. Their conversation gradually shifted into a more casual back-and-forth.
After about half an hour, Nando stood, thanked Zaboru sincerely, and made his way out of the building with a lighter heart. As he arrived back at Nanco's offices, he sat down at his desk, a soft grin spreading across his face.
"No need to worry then," he muttered to himself. "As long as Zaboru's around, arcades won't die."
He looked around his office, eyes landing on a classic arcade cabinet in the corner—the very first ZAGE arcade The Original ZAS. Nostalgia washed over him. Arcade cabinets had always held a special place in his heart, ever since he knew them he was always mesmerized by their lights, sounds, and the magic they held inside. Now, more than ever, he felt reassured.
The future of arcades was in good hands.
To be continue
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