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Gamestop Opposes Digital Game Prices


Bartel

Looks like Gamestop’s profits are starting to get hit hard.

Gamestop, the massive video game retailer, is starting to feel the fear of the benefits of digital gaming. In a statement by Tony Bartel, the company’s president, estimated that over $100 million in games would be downloaded, specifically through the hardware bundles coming out this season. Bartel compared digital pricing of games to those of movies, and see this as “driving the perceived value of digital goods significantly below that of a physical game.”

GS

While not specifically mentioning whether this applied to consoles or PC/Mac, this likely applies across the board. Gamespot has reaped a hefty reward for its Pre-Owned Games, which allows it to buy used titles and resell them at higher prices. This move cuts out developers and publishers, allowing the gaming corporation to keep all the profits.

While this is a phenomenally successful business decision, companies like Microsoft and Sony have been feeling the effects since the last console generation. Microsoft’s design of the Xbox One, pre-backlash, would have been focused on such digital downloads, allowing the people who make the games to take back some of that resell market. The lower price point accounts for the lack of manufacturing a physical disk, box and inserts.

No response from Sony or Microsoft has been given.

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About RedGuinness

Andrew Shortall (RedGuinness) is the Writer, Editor, Administrator and founder of Stay-At-Home Gaming. He also suffers from sleepless nights, summer new release withdrawals and trying to behave himself in front of his new nephew.

2 comments on “Gamestop Opposes Digital Game Prices

  1. Tuskoff
    November 24, 2014

    Blockbuster said the same thing about digital movies and we all know what happen to them. Time for GameStop to start investing into other business opportunities.

  2. redmetal3
    December 4, 2014

    Considering that their business practices ensured the game makers didn’t earn a penny off of used game sales while GameStop made substantial profits off of them, it’s not terribly surprising that developers are looking at methods which allow them to cut out the middlemen. Personally, I see GameStop’s opposition of the digital game prices as them admitting that they’re in serious trouble after their… shall we say, less-than-scrupulous business tactics over the years. Then again, even if they were to push their digital distribution platform more, a lot of gamers would probably go out of their way to avoid using it because, let’s face it, their reputation precedes them, especially amongst internet users. Plus, even if that weren’t the case, they would have to compete with the already well-established digital distribution services such as Steam and GoG – both of whom would leave GameStop in the dust.

    In short, it’s another case of someone smashing windows because it’s fun and then complaining because monsoon season is rolling in.

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This entry was posted on November 24, 2014 by in Gaming Non-Fiction, News Brief and tagged , , , , , , .

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