Yes. Skies was a great game and so was Shenmue, for its time.
But the market had moved by the time Sega put games out on Xbox and GC. JSRF should have been a GC title. Panzer Dragoon - great game - but on rails and not acceptable to mainstream gamers. GUNVALKYRIE had difficult controls. Sega GT was too little compared to GT3, etc... the list goes on.
The only properties they could really salvage were Virtua Figher and Sonic, which should have been multi-platform titles. Obviously Sega realizes their error or they wouldn't have made both of these franchises multiplaform on X360 and PS3.
Yet they still don't really know what their doing outside of Virtua Fighter. I mean Sega Rally came and went with but a murmur. Sonic just never worked great in 3D because Naka-san can't program a 3D camera to save his own life, not to mention all of the bullshit side characters. People want to speed their ass off as Sonic, not run around with a hammer as Amy. It's ridiculous.
This stuff is OBVIOUS. Sega doesn't have a clue anymore.