Team Eggman was formed by Dr. Eggman from the villains and rogues around Seaside Island, including Shadow the Hedgehog, to destroy their shared enemy, Team Sonic. As arguments rose over leadership though, Eggman had the group do team exercises, during which Shadow got fed up with these "fools" and left. Though Eggman was discouraged over their loss, his team inspired him to lead them so they could prove Shadow wrong.
Using coordination, Team Eggman attacked Team Sonic in the Village Center, dividing the heroes into unfavorable fights with Team Eggman's members and Eggman's robots. Even with the unexpected "help" from Shadow though, Team Eggman was overcome one by one by the heroes.
- According to Dr. Eggman, Team Eggman is the first assembly of villains of its kind to ever appear in the world of Sonic Boom.