GameStop has been dramatically reducing its footprint in the last year, and apparently plans to continue that trend into 2026. According to Polygon, GameStop is currently in the process of closing “a large portion” of its remaining U.S. based locations as a part of its continued “cost reduction strategy,” which resulted in approximately 590 U.S. locations closing in 2025. According to various counts, it appears there will be anywhere from 300 to 400 more stores closed by the end of January 2026.
The messaging appears to be about “store portfolio optimization” and cutting costs. In SEC filings, GameStop made it clear that it was planning to close “a significant number” of its locations, focusing on underperforming stores and creating a tighter “retail footprint.” The actual result of this plan is the quiet elimination of the last dedicated video game store in many communities, with employees being given very little notice, and merchandise being moved to either warehouse space or other still open locations.
Adding another layer to the story is the incentive system at the top. CEO Ryan Cohen has a stock option package tied directly to his performance that could be worth approximately $35 billion if he can get the GameStop market capitalization to $100 billion, roughly ten times where it is now. Cutting hundreds of physical stores fits neatly into that kind of expense‑focused turnaround story, even if it accelerates the already steady erosion of GameStop as a place you actually visit.
From a player’s perspective, nothing has changed. The digital storefronts have been cannibalizing physical sales for over a decade, and most consumers already split their purchases between digital storefronts, Amazon, and the occasional special edition. For the parts of the U.S. that will now be “one store within an hour, if that,” though, this round of closures makes it clear that the era of wandering into a dedicated game shop on a weeknight and flipping through used shelves is shifting from habit to memory.
Source: Polygon via GamesIndustry.biz
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