alt Hacker NewsThe Dreamcast charm is partly how simple it is, a jellybean CPU. The PowerVR is competent but it’s not outside the norm for 3D accelerators of the period (and there was a mass produced PCI card available of it). Nothing about the Dreamcast is exotic. Though the pack in modem and VMU are neat (did say “maybe” for the DC). GD-ROM vs DVD was obviously a dumb move. Perhaps Sega didn’t have the war chest to loss leader a DVD Dreamcast (they didn’t have the vision either at that point).
A technical demo like Bleemcast doesn’t demonstrate how far ahead something is, it has to be seen relative to the hardware of a similar generation. Having said that the PS2 which had some early programming hiccups would go on to eat DC’s lunch.
...and PS2 eating the DC's lunch has more to do with Sega and their terrible decisions made in prior generations that burnt retailers and consumers alike than anything else. The things the PS2 had going for it at launch was a cheap DVD player(yes Sega didn't have the money for this. They were very close to bankruptcy at the time) and Sony's hype.