Designing arcade machines for cross-platform compatibility presents several unique challenges. First, hardware limitations can be a major hurdle, as arcade machines often rely on specialized components that may not integrate seamlessly with other platforms like consoles or PCs. Second, software compatibility issues arise when games need to run smoothly across different operating systems or architectures.

Another challenge is maintaining a consistent user experience. Arcade machines are designed for quick, immersive gameplay, but adapting controls and interfaces for cross-platform play can disrupt this flow. Additionally, network latency and synchronization become critical in multiplayer scenarios, where delays can ruin the fast-paced nature of arcade gaming.

Finally, cost and scalability must be considered. Developing cross-platform arcade machines often requires additional resources for testing and optimization, which can drive up production expenses. Balancing performance, affordability, and compatibility remains a key obstacle for designers in this niche.