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Digital downloads and Gamestop

With the rise of digital content in the gaming industry including not only DLC but full retail games on PSN and comming soon XBL, some may question the future of companies such as Gamestop. Some may think that Gamestop is in denial that the gaming industry is being taken over by digital download just as the music and entertainment industry. While digital content continues to have a negative effect on companies like Gamestop it will not make them obsolete any time soon. If all retail games were to release as download only developers would charge you full price for an un-resellable, completely controlled product that would cost them less to produce. Essencially making games into more of a service rather than a product you could physiclaly own. For example, a PSN title can only be downloaded 5 times before you have to repurchase the content. Only the developers benefit from digital content as every one who wants to play the game must buy a fresh copy, not a used game, not one that you borrow from a friend, giving devs total control over distribution as well as pricing. If Sony decided to use the PSP Go! as a next gen platform (making the UMD obsolete) and releasing all new games as digital download only, Gamestop could have refused to support the PSP Go! since they could no longer sell PSP games. Sony knew they had to keep the UMD not only to keep current PSP owners happy but retailers aswell. The same goes for console game distribution. Also keep in mind that not all gamers have access to the internet and still prefer some place to shop and ask questions about games before they make their purchase. I do believe digital content is the future of the industry, but there will always be a market for physical media. 

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D4RkNIKON6174d ago

Are you serious? What the hell does that even mean? I thought there might have been a meaningful comment on my thoughts on the subject..

thisguywithhair6169d ago

All i have to say is "Vinyl Records". Didn't they stop making those a while ago and yet they are still very popular.

Digital Downlods will never completely take over. Not for decades at least. People are very materialistic and want to have what they own. I sometimes forget what I have downloaded. Heck, I can't even keep track of my tivo sh!t.

70°

Microsoft Gaming Revenue Drops 7% Year-on-Year, Content and Services Down 5%, Xbox Hardware Down 33%

Microsoft announced its financial results for Q3 of fiscal year 2026, including an update on its gaming Xbox business and more.

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simulationdaily.com
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Jin_Sakai21d ago (Edited 21d ago )

Not looking good. Hopefully Asha Sharma is able to turn Phil’s disaster around.

dveio21d ago

To me it's still quite remarkable how they can cash-in 5.3bn in revenue in a single quarter, since their hardware is basically dead.

Jingsing21d ago

The stock mark is what makes Microsoft remarkable, They have convinced every institutional and retail investor to just keep piling money into them. Like many big tech giants they are just a big growing pyramid scheme. As long as people keep dropping money into ETF's that cover the market Microsoft will always be liquid. At the same time it is completely stifling innovation and competition. People need to start being more discreet in how they invest their money as it's killing the system.

Tanktopmaster9221d ago

Once they re-evaluate exclusive all will be fine….

S2Killinit21d ago

Riiiiight because people will just flock back to them for one or two games per year.

Jingsing21d ago

15+ years of bad performance is what they call irreparable in business. It is time for them to sell off the assets and get out of entertainment.

Tanktopmaster9221d ago

These declines are on the back of extra revenue received from releasing games like Forza horizon 5 on PlayStation. So I’m being sarcastic here when I said they should go back to exclusives. Killing off a revenue stream from Ps5 sales will only make things worse

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40°

Games Done Quick is coming to Europe for the first time with 3 days of Gamescom speedruns

The charity event will be streamed live from Gamescom in August.

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videogameschronicle.com
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50°

Report: Injustice 3 in Development at NetherRealm Studios

Thanks to the slip-up of an artist working on the title, we now have more evidence that a new Injustice game is in the works.

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