Sonic, Tails, and Knuckles encounter an abandoned Badnik drone which upgraded itself using parts from a junkyard, with the intention of conquering the world.

An injured Santa Claus visits Sonic, Tails and Knuckles. As he is unable to deliver presents, he sends Team Sonic out to deliver all the Christmas presents to everyone around the world.

Sonic travels around the entire globe at high speed while touring all the best landmarks and explains through doodle drawings.