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Digital Download Developer NinjaBee Predicts The Death Of GameStop At GDC

pklepek
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Posted March 10, 2010 - By pklepek


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GameStop Creates Digital Distribution Executive Position -- A Sign Of Things To Come?

GameStop is on its way out, according to NinjaBee art director Brent Fox. All retail establishments whose primary sales are driven by boxed video games are on their way out, actually.

"I think GameStop is not going to be around shortly," said Fox during a presentation at the Game Developers Conference discussing NinjaBee's biggest lessons making downloadable games.

NinjaBee is probably best known for A Kingdom for Keflings and Cloning Clyde.

Fox pointed to the moves that Electronic Arts is making as primary evidence, as EA recently shuttered Pandemic Studios while spending $300 million on acquiring social-oriented developer Playfish.

"I think the change [to digital] is happening rapidly, where I think GameStop is not going to be around shortly," he said. "I started talking about this six months ago. I was saying 'oh, five years.' ... I've revised my particular prediction to three years and I still think that's talking too long. My [business] partner's original prediction was a little over two years and I think he's going to win."

Do you want to take him up on that bet?

Have something to share? Sitting on a news tip? E-mail me. You can also follow me on Twitter.

Digital Download Developer NinjaBee Predicts The Death Of GameStop At GDC
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Comments are Closed

  • Vikingfist

    Until the 1 terabyte harddrive drops for 360/PS3, then the idea that boxed sales will tank in 2 or 3 years is redonkulous. I have over 160 games across all three consoles. I buy on average 4 new titles a month... at that rate, I'd have to start deleting games after a bit to make room for new ones. The idea of being forced to tank purchased games so I can have the hot new ones doesn't sit well with me. I'm also a fan of collector's editions and even more so INSTRUCTION MANUALS! Those "how to play" sections on DL games usually blows. I like DLC (even though it's sorta a scam if you think about it...stuff like bonus costumes & such should be included in the $60 we pay), but I'd never download a game like Dragon Age: Origins for example that's so involved. Not to mention it takes decades just to download updates on the PS3 for crying out loud!

    Posted: March 15, 2010 3:21 AM
    Vikingfist
  • smiles

    I hope gamestop goes under. It is an evil empire.

    Posted: March 14, 2010 10:34 AM
  • xArchonPrimex

    This is ridiculous. I've been doing a lot of research on this lately and I can definitely say that the boxed market sales will be around for a long time to come. Yes, the digital market for games is going to increase with the industry as a whole, but to think so much that the boxed sales will be moved out in the next few years is ridiculous. The most simple reason for this is that massive games titles like Modern Warfare 2, Mass Effect 2, God of War 3 and many others that are coming out soon would take hours to download, even with high speed internet, but mostly because now that our home consoles are increasing their hard drive capacity games like this would fill up 120 and 250 gb drives with only a handful of games. I'm looking forward to the growth of the digital gaming side of the industry, but I, for one, would never want to loose my game library.

    Posted: March 11, 2010 8:43 PM
    xArchonPrimex
  • superdeeduper51

    Why do people keep thinking that digital downloads are going to destroy businesses like Gamestop? It just isn't going to happen. Downloading PC games is one thing because you can't even resell physical copies anymore, but with console games? This yahoo doesn't know what he's talking about. What about Wii games and DS games? You can't buy full retail games for them digitally, obviously overlooking Wiiware and DSiware. I refuse to buy a console game that I can't do with what I please like resell it.

    Posted: March 11, 2010 5:53 PM
    superdeeduper51
  • firefist

    I have bought two digital downloads for my psp and now i have no way of getting them off my hands. I can't sell it or trade it in. I can't share it with my pals or switch games with a bud. I'll take that bet. Game Stop is here to stay. Even though lots of peeps complain about GS you have to admit that it's like a crack house for gamers. Every time you step inside one them, you come out with something in hand. Smiling all the way home....

    Posted: March 10, 2010 11:53 PM
    firefist
  • sleekonia

    for those that believe gamestop isnt on the decline, just compare them to blockbuster when digital download became very popular. there are on 3 blockbuster in my city now where 5 years ago there were over 20. gamestop wont just up and end but it will take a big hit. and for those that say what about used games? any retailer can really sell used games there will always be a market for it and if other retailer take avantage of that fact then THAT my friends will be the final blow. it will take time, but they wont be as powerful as they are now. hands down.

    Posted: March 10, 2010 5:39 PM
    sleekonia
  • GonzoGuy

    As much as I hate Gamestop, I don't want to give up the hard copy yet.
    Before I do that, they need to pass some of the savings to us: besides saving them cash on packaging/shipping, I'm the one that will have to worry about storage rather than just having a disc. Besides, I heard they have a plan for digital distribution: code cards that you buy and punch in the code to download. Kids w/out credit cards will dig that.

    That said, if Gamestop went under, I wouldn't be too upset.

    Posted: March 10, 2010 4:47 PM
    GonzoGuy
  • edmoney

    this will never happen. because i want a hard copy. i like seeing a big collection of games and movies in my livingroom. and there will allways be stupid people like me who want the hard copy and pay for it just to sell it back for less than half price a week later. that is the lone fact why gamestop will not fail!

    Posted: March 10, 2010 3:39 PM
    edmoney
  • JOKERNJ732

    This is BS!!! nothing can replace the feeling of going to a midnight release or waking up early to be at gamestop when they open to buy a game, bring it home and have that sweet smell of plastic and paper hit your nostrils. Slide that disc in for the first time and enjoy an amazing video game. on another note realize this would virtually end your ability to trade in games and probably eventually consoles if thers no game store. i dont know personally i dont want anything to change but if it does we really wont have a choice in the end cuz if the games are cheaper to download and perform the same way they do from playing a hard copy than inevitably game stop could shut down at least in a store capacity. they could take note from a company like blockbuster and force themselves to adapt by selling downloadable games themselves that is if they get in early enough beofre some other huge giant corporation and already swarmed the market like netflix for dvds. anyways that just my two cents. peace

    Posted: March 10, 2010 3:34 PM
    JOKERNJ732
  • Reverendfetus

    There's three Gamestops in my immediate area. Standing from any one of them I can see the other two. Their business is so good that there are THREE of them right next to each other and they all still make enough money to stay in business. I don't think Gamestop will be dieing anytime soon.

    Posted: March 10, 2010 3:32 PM
    Reverendfetus
  • The Brodog

    I think people are jumping the gun on this way too quickly. Just like the fact that some people are still buying their first DVD player, people are just buying a 3rd generation game consoles. Don't get me wrong I think we will hit that stage but just like there still FYE's in the world selling CD's and DVD's, a company like Game Stop will be around for a while. The fact I was getting to with the whole DVD and CD thing is that as much as we are heading to a new digital downloading area, I still see people relying on physical media especially in the game world. I see it taking the majority of people to make the transition many years when it comes to relying on digital downloads as its just unfamiliar to the average joe. Computer game downloads are at a all time high but as far as anything else, I can't see it taking off right off the back. It takes people a while to adjust to a change such as this, not to mention Game Stop could always jump in to have a piece of the pie.

    Posted: March 10, 2010 3:31 PM
    The+Brodog
  • Drink_Just_Six

    I don't see it. I was talking to a guy at my local GameStop and he said that business has actually been going UP in the past year or two.
    In my opinion, I like a nice hard copy of a game, and I really hope they continue to be available for years to come.

    Posted: March 10, 2010 3:17 PM
    Drink_Just_Six
  • xterrencex

    Didn't the PS3 clock meltdown teach us nothing? Honestly, games are so expensive right now that i don't care to buy them new or at all. If I had more money coming in I'd love to buy them since I desperately want to support the designers of these games and they need the continued support. But after the PS3 digital error (although I don't have a PS3) I'm not sure how much trust I want to put in online media unless I have a safe way to keep my games. That would also be a lot of upgrading to do now and the cost would be way up. If it's included in the next generation of consoles and as outlined below me, the costs are significantly cheaper and the memory is upped to where there isn't a problem, it could very well be possible that Game Stop will eventually run out of fuel. In place of the memory there is also the possibility that the game can be sent streaming as the On Live that was presented at DICE represents that option (unless I misunderstood it.)

    Posted: March 10, 2010 3:08 PM
    xterrencex
  • DPsx72

    Gamestop is hurting themselves by not offering great deals in the same way Amazon and Toys R Us have been doing lately. I used to shop there weekly and now I haven't been there since Dec.

    On the other hand I think these people are complete fools to think digital sales are going to take over. Millions of us WANT a disc, case, manual, and everything that comes with a game. A physical copy is always best, files on a drive don't make a good looking collection. Unless games max out at $20 then we want the rest of the package for our $60. Right now DLC is limited to smaller games that launch for $5 or $10. One glance at the PSPGo should be enough proof that gamers do not want to go all digital. Hell I'd probably stop buying games if the physical market dried up.

    Posted: March 10, 2010 2:52 PM
    DPsx72
  • patrickgatsby

    Games are a business. As much as some of us might not like it, sudios make games to make money. Digital distribution makes all the business sense. Game companies want to sell games. Right now to sell games they also have to be in the packaging business, warehousing business, and supply logistics business at the very least. These other "businesses" rob resources from the games. By taking out the costs of cases, cover inserts, printing DVDs, and shipping all of this stuff around the world a bunch more of the resources can be devoted to the games. That's what we want to buy and that's what Devs want to make. I predict that the next console generation will lack any drive other than at least a 1 terabit hard drive. Gamers will respond if these changes provide obvious wins for them. The biggest of theses "wins" needs to be games that are meaningfully cheaper. This should happen since, as I've stated, costs should come way down on bringing a game to market. We should also see greater variety and risk taking creatively form game devs since the breakeven point on a download only game should be much lower. At least if your title bombs you don't have to send a half million dvds to the landfill. The author's timeline may be a bit tight, but the next gen will kill Gamestop.

    Posted: March 10, 2010 2:40 PM
    patrickgatsby
  • FuzzyHammer

    Game stop will be around as long at there are physical games discs to sell. And there will be physical game discs to sell as long as Microsoft maintains control of their tiny hard drives.

    Even if all your digital purchases are saved online someplace, having to swap them out and re-download games to conserve space every time you want to play them would be a pain. People that have large game libraries need discs or larger hard drives, so until there's a change on that front, GameStop will be around.

    Posted: March 10, 2010 2:36 PM
    FuzzyHammer
  • jedimasterchief9

    I hate Gamestop with a passion. GS and rental kill the industry. I always by my games new, from amazon or best buy, or digit download. I cannot wait for GS to fail. It makes me feel dirty every time I enter one of their stores.

    Posted: March 10, 2010 2:23 PM
    jedimasterchief9
  • CamperHunter1

    Gamestop will last for a bit. I love digital downloads but physical copies still have some merits which Gamestop can utilize.

    1) Having a used games market

    2) Offering special promos that couldn't otherwise be given with copies (pre-orders and such)

    3) And the general opinion that many people prefer to have a physical copy because they don't fully trust digital yet and can share it with their friends easier.

    It may happen eventually, but I think no less than 4-5 years is a safe bet for continued operations.

    Posted: March 10, 2010 2:12 PM
    CamperHunter1
  • drangel_jam

    five years is too short. And GS has too much money to simply die. They will probably expand their services by selling other forms of media.

    Posted: March 10, 2010 2:12 PM
    drangel_jam
  • thesilentmole

    I write about video games on the interwebs and I think Game Stop will outlast EA. Where's my "news" story?

    Posted: March 10, 2010 2:11 PM
    thesilentmole

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