Sonic & Sega All-Stars Racing was well received, providing a credible alternative to the Mario Kart series and - to the relief of some fans - didn't feature a blue shell equivalent where a player in first could be punished moments before finishing the race.

The game is currently in pre-Alpha, and is set to release around fall. At E3 2012, three stages were available to play: Dragon Canyon, Temple Trouble and Adder's Lair for Panzer Dragoon, Super Monkey Ball and Golden Axe respectively. Levels also show what surfaces are available, so players will know whether there is land/water/air. Vehicles transform depending on the surface, from a car to a boat to a plane.

Tracks also transform around you, telling a story, as tracks change through destruction and as a result change the environment.

The handling model is similar to the original game, meaning boosting and drifting the ability to build up the All-Stars bar. There are different weapons from the original, such as an Ice Cannon - which freezes opponents - and an RC control to hit other racers. Tricks are now in the form of barrel rolls and flips, and landing them gives players a boost. Doing multiple tricks gives an extended boost. Weapons can also be Evaded.

Transforming to a boat, for example, is a "completely different experience" with a different set of physics. Players can do tricks off waves, which vary in size, which are created by the environment.

Adder's Lair was also shown, the Golden Axe stage, was also shown and begins on lava and not water. The stage supports flying, where players can do backflips and barrel rolls, with speed boosts in the air. For Lair, there's a volcano in the background which spews lava.

Temple Trouble was the final stage, which pays tribute to the game by going downhill constantly and showed elements of the environments which players can crash into and be slowed down. There was also the ability to get a Super Pick-Up by landing a trick on a target, though the host failed and therefore didn't show the ability. As the track constantly goes down, a portal takes players to the top.

The game is set for Q4 2012 for the Xbox 360, PC, PlayStation 3, Vita, Nintendo 3DS and Wii U.