Zeebo was Brazil's homegrown game console — Qualcomm-backed, dead in 2 years

Zeebo was conceived in 2008 when Mike Yuen, a Qualcomm executive, developed a business plan for a low-cost game console targeting emerging markets. Dave Durnil built the prototype using Qualcomm's BREW mobile chipset, and Reinaldo Normand was brought in to found Zeebo Inc. Tectoy, Brazil's long-time Sega distributor, handled local manufacturing and distribution.

The console launched in Brazil on 25 May 2009 at R$499 (US$250), with a strategy built entirely around wireless digital distribution. Games were downloaded over 3G/EDGE — no cartridges, no discs, no retail — to circumvent the piracy that plagued physical game sales in developing markets. The system was always online, never requiring a subscription. Games were bought with a virtual currency called Z-Credits.

Initial sales were weak. The price was cut twice in the first six months — to R$399 in September 2009 and R$299 in November. A Mexico launch followed in November 2009 at 2,499 pesos. But the game library never grew beyond about 40 titles. Planned ports like Sonic Adventure and Street Fighter Alpha never arrived. Without a broad catalog, the console could not compete with the dominant PlayStation 2 or the rising smartphone market.

On 27 May 2011, Zeebo announced it was ending operations in Brazil and Mexico. On 30 September 2011, the console was discontinued entirely. Zeebo Inc. announced plans for a next-generation Android-based platform for 2012, but it never shipped. The ambitious experiment in emerging-market gaming had lasted barely two years.