GameStop CEO: Physical Games Now ‘Totally Irrelevant’
▼ Summary
– GameStop CEO Ryan Cohen says PlayStation ending physical game production in 2028 is “totally irrelevant” to GameStop’s future.
– GameStop’s business has shifted from software sales to collectibles, trading cards, and toys, which now make up 41 percent of revenue, while game sales account for only 18 percent.
– Cohen pursued a $55 billion acquisition of eBay, but eBay rejected the unsolicited offer in May.
– Grand Theft Auto 6 will launch as a digital-only product in November, preventing GameStop from selling used copies.
– Cohen believes a GameStop-eBay merger could create a “$1 trillion business” and continues to push for the deal.
GameStop CEO Ryan Cohen is brushing off concerns about the end of physical game discs, calling the shift “totally irrelevant” to the company’s future. In a recent interview with Bloomberg, Cohen was pressed on Sony’s announcement that it will cease production of new physical PlayStation games starting in 2028, but he remained unfazed. “It doesn’t matter at all. It is totally, totally irrelevant,” Cohen stated.
This indifference stems from a major pivot in GameStop’s business model. Once heavily reliant on software sales, the retailer now generates only 18 percent of its revenue from games. Instead, the company has leaned into collectibles, trading cards, toys, and Funko Pops, which together account for 41 percent of its business. This strategic shift, Cohen explained, is why he pursued a massive $55 billion acquisition of eBay. The internet bidding site rejected the unsolicited offer in May, but Cohen hasn’t dropped the idea, discussing the proposed deal again in June.
When Bloomberg asked about the massive hype for Take-Two’s upcoming Grand Theft Auto 6,set to launch in November as a digital-only product,Cohen deflected. “I want to go back and talk about eBay,” he replied, sidestepping the fact that GameStop won’t be able to sell used copies of GTA 6 after launch. Reports even suggest the game may never see a physical release beyond a code in a box, further limiting GameStop’s potential revenue from the title.
Cohen remains all-in on the eBay vision, claiming a merger could create a “$1 trillion business.” This follows one of the most peculiar interviews in recent memory, where he pitched the same idea to CNBC. Whether eBay will ever play ball remains the big question, but for now, Cohen is betting big on collectibles and online auctions, not physical discs.
(Source: Kotaku)
