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Players can race one of three courses including:
- Highland Raceway
- Indianapolis 500
- Bayside Street
A disclaimer appears at the start of the game notifying players that Highland Raceway and Bay Side Street are fictional courses and are not affiliated with Indy. However, the two courses resemble Laguna Seca and Long Beach/Surfers Paradise respectively.
The race commences after the user has made their choice of automatic transmission or manual transmission with a 2-position shifter.
Sega World Sydney featured an enhanced version of Indy 500 similar to Virtua Racing at the Yokohama Joypolis and Sega Touring Car Championship at the Tokyo Joypolis. It featured an 8 player linked system with large screens in front of complete cockpits including additional virtual spectator displays. It was run as an attraction, as opposed to regular arcade units, which involved continuous staffing and requiring players to queue. This variation still exists at several SEGA GameWorks arcades in the United States.
Sega released a handheld game under the same franchise on the Tiger Game.com console.