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Obliterator · Feb 28, 2017

GameStop's stock price has dropped nearly 8 percent today following Xbox boss Phil Spencer revealing the Xbox Game Pass service. This is a program where Xbox One owners can pay $10 per month to have unlimited access to over 100 Xbox One and backward-compatible Xbox 360 games. Of course, these are all digital games that you download from Microsoft's Xbox Game Store, and it's likely that investors are seeing this as a major threat to GameStop.

And an instant library on a console like Xbox One could potentially eat into GameStop's sales. The brick-and-mortar retailer makes quite a lot of its money from secondhand sales where it resells products that consumers have traded in.

Not surprising. A good chunk of GameStop's business comes from selling older pre-owned titles that don't exist much on the market in terms of new copies. If these sort of programs begin catching on it could be pretty bad news for them.

More at the link

http://venturebeat.com/2017/02/28/gamestop-stock-price-tanks-after-microsoft-announces-new-digital-gaming-service/

sixteen-bit · Feb 28, 2017

To be expected, honestly.

ironcreed · Feb 28, 2017

Gamestop is the walking dead. So is Gamefly.

LordKano · Feb 28, 2017

Even when Microsoft announces stuff they're still killing other things smh.

frontovik · Feb 28, 2017

Just go quietly into the night, Gamestop. Your reign of greed is over.

Art Vandilay · Feb 28, 2017

ironcreed said:
Gamestop is the walking dead. So is Gamefly.

I was about to say this. GameFly should be taking a hit as well.

RoKKeR · Feb 28, 2017

Quoting from other thread:

Outrun said:
Circle of death.

Lashley · Feb 28, 2017

They're on their way out.

Good, imo,.

Dee Dah Dave · Feb 28, 2017

Good, I despise these vampires.

Ganrob · Feb 28, 2017

I already see GameStops as Blockbusters.

icespide · Feb 28, 2017

circle of life

Obliterator · Feb 28, 2017

To be honest this is pretty much exactly what MS wants. They've been wanting to cut out retail / the middle man for a while now. Its a big part of what was going on with the original Xbox One reveal.

Remember all those interviews / articles that GameStop was doing prior to the Xbox One's reveal saying people wouldn't buy a console that doesn't play used games? Its pretty clear there's been a movement within MS to bring forward the all digital age as quickly as possible.

Frankly, Xbox / MS likely see this as a win

Chanser · Feb 28, 2017

And so many store jobs will be lost?

Tom Nook · Feb 28, 2017

Ouch.

Bye Game stop.

aGuyInaBearSuit · Feb 28, 2017

ironcreed said:
Gamestop is the walking dead. So is Gamefly.

I was excited about this fact.

Then data caps became a thing.

Ouroboros · Feb 28, 2017

Games as a service is one step closer.

I

'm still going 100% physical outside of Stea

m.

ScriptedReality · Feb 28, 2017

Damn. Thats a hit to the ribs.

Fisty · Feb 28, 2017

Gamestop to become Hot Topic for Nerds comfirmed. Good thing they got in on that pop-culture-garbage-toys game

DizzyCaffeine · Feb 28, 2017

ironcreed said:
Gamestop is the walking dead. So is Gamefly.

Gamefly is great for brand new games.

OldRoutes · Feb 28, 2017

Like I said in the original thread, I haven't bought a single Xbox One game from a retailer, except the bundled ones... It's way more convenient to do it online, and with GwG and now the Xbox Game Pass, that's even more reason to go Digital only, in my world.

PeakPointMatrix · Feb 28, 2017

Sony should be the one sweating. A service like that sounds awesome. And no PSNow doesn't count, not at those prices at streaming only.

RipperGrim · Feb 28, 2017

The service has the potential to kill second hand gaming all together so I can see why people are jumping ship.

Obliterator · Feb 28, 2017

PeakPointMatrix said:
Sony should be the one sweating. A service like that sounds awesome. And no PSNow doesn't count, not at those prices at streaming only.

I don't know about sweating, but I do hope this pushes them to offer something similar. I plan on subscribing to the Xbox Game Pass when I pick up a Scorpio later this year, and if Sony offered something similar on the PS4 I would jump in on that as well.

Its a pretty sweet idea / concept.

ironcreed · Feb 28, 2017

DizzyCaffeine said:
Gamefly is great for brand new games.

Yeah, if you are lucky enough to get them shipped out to you. I found it to be a dice roll and cancelled.

Toki767 · Feb 28, 2017

PeakPointMatrix said:
Sony should be the one sweating. A service like that sounds awesome. And no PSNow doesn't count, not at those prices at streaming only.

It would be a lot easier for Sony to offer a comparable service than it would be for GameStop to find a way to combat it.

kiguel182 · Feb 28, 2017

I wonder how long it will take to disappear. With digital sales increasing on consoles plus stuff like this is a matter of time. If more people had decent internet it would probably be faster.

moltonasty · Feb 28, 2017

Good, can't wait to see GS go bankrupt.

I'll never forgive them for destroying Funcoland. RIP Funcoland still miss ya

Kill3r7 · Feb 28, 2017

PeakPointMatrix said:
Sony should be the one sweating. A service like that sounds awesome. And no PSNow doesn't count, not at those prices at streaming only.

Both Sony and Nintendo will get there two. PSNow is basically there. They just need to allow downloads and change the price structure.

shandy706 · Feb 28, 2017

That reminds me...

(goes to check AMD stock)

...ok still good there. Haha

vpance · Feb 28, 2017

Gamestop should stop selling Xbone hardware and software in retaliation.

Vashetti · Feb 28, 2017

icespide said:
circle of life

Nice.

Fisty · Feb 28, 2017

PeakPointMatrix said:
Sony should be the one sweating. A service like that sounds awesome. And no PSNow doesn't count, not at those prices at streaming only.

Lol yup, they sure were scared when they turned down EA Access

2blackcats · Feb 28, 2017

Toki767 said:
It would be a lot easier for Sony to offer a comparable service than it would be for GameStop to find a way to combat it.

I don't think Sony will go this direction.

It will piss off publishers.

The End · Feb 28, 2017

aGuyInaBearSuit said:
I was excited about this fact.

Then data caps became a thing.

Thanks Trump

Kill3r7 · Feb 28, 2017

2blackcats said:
I don't think Sony will go this direction.

It will piss off publishers.

How?

vinnygambini · Feb 28, 2017

It certainly spells bad news for Gamestop longterm (hence their diversification through AT&T stores and Thinkgeek), but there will always be a marketplace for physical games sold in stores and that's where Gamestop excels - it's going to be hard work, but they'll make it through.

I could see their used games segment halved though as the subscription model takes more place in the marketplace, so they would need to capture that lost revenue through other sources of revenue - they've already started with game publishing, but they would need more than just that.

Kthulhu · Feb 28, 2017

I'm surprised that MS didn't wait till E3 to announce this TBH.

As scummy as GameStop can be, I do hope a better outlet(s) can take it's place. I have no intention of going digital on console, and I don't trust Amazon to fulfill preorders on limited goods.

Vitacat · Feb 28, 2017

Wow, that xbox game pass is pretty impressive.

If this becomes a big thing, it could really hurt Gamestop's used game business. And that's basically their bread and butter.

RipperGrim · Feb 28, 2017

Kthulhu said:
I'm surprised that MS didn't wait till E3 to announce this TBH.

As scummy as GameStop can be, I do hope a better outlet(s) can take it's place. I have no intention of going digital on console, and I don't trust Amazon to fulfill preorders on limited goods.

Yea would have gone down well at E3

2blackcats · Feb 28, 2017

Kill3r7 said:
How?

It will affect game sales.

Same reason they didn't want EA access.

xDUMPWEEDx · Feb 28, 2017

Can't say I feel bad for GameStop.

Diprosalic · Feb 28, 2017

Lashley said:
They're on their way out.

Good, imo,.

i don't really see what's good about it.

matrixman92 · Feb 28, 2017

DizzyCaffeine said:
Gamefly is great for brand new games.

they sent me the same game cracked in half twice and wouldnt refund me or even give me additional time on my subscription, they are terrible. At least with redbox when I get a piece of paper instead of a disc they refund me and gave me a code for a free rental.

I should add that gameflys sales they have to purchase games are exceptional tho

frogger · Feb 28, 2017

The one store I won't miss.

LegalEagleMike · Feb 28, 2017

vpance said:
Gamestop should stop selling Xbone hardware and software in retaliation.

That should please their stockholders...

Gestault · Feb 28, 2017

2blackcats said:
I don't think Sony will go this direction.

It will piss off publishers.

Publishers are getting their cut, which is the point of the service from the business side. It's also ongoing income on titles without a strong first-round retail presence.

Sony should consider changes to PSNow to get more in line with this. Theoretically, it's less overhead for them, as well.

vpance said:
Gamestop should stop selling Xbone hardware and software in retaliation.

Gamestop isn't in a position to leverage much of anything like that without damaging themselves even more.

Biske · Feb 28, 2017

Maybe gamestop should focus on not providing a shit tier experience

Physical and used games have a place and market in life, but they make it a nightmare consistently.

oti · Feb 28, 2017

Lashley said:
They're on their way out.

Good, imo,.

You want video games to lose their biggest retail presence? Why?

timlot · Feb 28, 2017

Toki767 said:
It would be a lot easier for Sony to offer a comparable service than it would be for GameStop to find a way to combat it.

My guess is Sony is still trying to recoup the $380+ million investment they made in purchasing Gaikai and the undisclosed amount they payed for Onlive. Switching to a service like this would be basically writing off their whole game streaming initiative.

Kthulhu · Feb 28, 2017

RipperGrim said:
Yea would have gone down well at E3

Sarcasm? Why wouldn't it have?

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