Isn't EA giving the Dreamcast the cold shoulder one of the major reasons the Dreamcast lost to the PS2? We got the awesome 2K series of sports games out of that, but no Madden was a major issue if I remember. And so is no Fifa, not sure if the Dreamcast had Winning Elever or not, and I loved Virtua Striker but that isn't going to sell a lot.
The Dreamcast actually did pretty decently in terms of HW sales - they managed to hit 10m before anyone else, at a pace that in retrospect - was arguably better traction than the Xbox or Gamecube had -- but they just didn't have the money to sustain it. Nor did they have a userbase to a point where analysts and devs would be happy when PS2 arrived.
EA didn't help matters, but the real problems started on Saturn. Sony completely butt-raped them at the original PlayStation's E3 unveiling -- nobody was expecting Sony to price them into oblivion. They'd already sustained losses on endeavours like 32X. With Saturn things just want from bad to worse. EA decided to play hardball on license fees because they saw SEGA were in a weak position. They claimed they they'd made huge losses on Saturn due to early discontinuation and reportedly demanded they be given a 5 year license where they were the only sports-game licensee on the Dreamcast. ie. Nobody else would be allowed to make sports games on the machine. Not 2K, not SEGA's own teams, nobody. SEGA offered them lower royalty fees but Larry Probst at EA didn't wanna play ball. With waning interest in the face of PS2s ridiculous Toy Story / Jack Into the Matrix / DVD hype machine, they cut the price to half that of PS2. They'd already bled all sorts of money on SegaNet when they did that too. Sadly, they were just a little too far ahead of the game on that one. With no broadband penetration they were trying to run it like an ISP. Costly. Anyway, they couldn't even eat a loss of less than 200 million at that stage, and they knew Microsoft were coming in. When you look at the losses Sony and Microsoft were prepared to take this generation (between 2 and 5 BILLION) - they probably made the right call... I suspect Okawa's health may have played a part in CSKs decision to get out of SEGA as well, Okawa died shortly after they discontinued in North America. I wonder how different things would have been if they'd sold to someone with decent management and some capital to burn?
EAs behaviour with SEGA is one reason I can believe the rumours about EA trying to forcibly persuade Nintendo to use Origin. That wouldn't surprise me at all.