The clip comes from Sonic Sez, the public service segments that closed episodes of Adventures of Sonic the Hedgehog in 1993. At the end of each lesson about safety or behaviour, Sonic would address viewers directly and label the risky example as no good. Clips from the series resurfaced online in the 2000s and 2010s through remixes, GIFs and soundboards, where this short line escaped its educational context. It survives as a meme reaction because the delivery is clear, nostalgic for cartoon fans, and useful for any fail moment.
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Sonic saying that's no good from the Sonic Sez segment, used as a short reaction clip for mistakes, bad takes and awkward fails in video edits.
This is Sonic the Hedgehog delivering his blunt verdict, that's no good, in a firm disapproving tone taken from the Sonic Sez closing segments. The line is short and instantly readable, dropping like a stamp of rejection over whatever came just before it. It works because Sonic sounds genuinely unimpressed rather than angry, making the moment feel both corrective and funny. Viewers hear it and immediately understand a plan failed, a choice was poor, or a character crossed a line, which is why editors love it as a clean punchline.