Editing GameStop (section)

===Decline (2016–2024)===
[[File:Merrick Theatre; Jamaica & Guy R Brewer-1.jpg|200px|thumb|A shuttered and graffitied GameStop store in [[Jamaica, Queens]] in 2017]]

====Changes in market conditions====
The market for physical game media has been in a state of decline due to downloadable games on services such as [[Xbox Live]], [[PlayStation Network]], [[Nintendo eShop]], and [[Steam (service)|Steam]].<ref>{{cite news|url=http://www.gamereactor.eu/news/496973/The+physical+gaming+market+declined+in+the+UK+last+year/?cat=news|title=The physical gaming market declined in the UK last year|date=January 12, 2017|access-date=January 13, 2017|first=Sam|last=Bishop|work=Gamez Publishing|archive-date=January 16, 2017|archive-url=https://web.archive.org/web/20170116160800/http://www.gamereactor.eu/news/496973/The+physical+gaming+market+declined+in+the+UK+last+year/?cat=news|url-status=live}}</ref><ref>{{cite news|url=http://www.mcvuk.com/index.php/news/read/era-2016-physical-games-revenue-down-16-4-year-on-year-but-digital-up-12-1/0177257|title=ERA: 2016 physical games revenue down 16.4% year-on-year, but digital up 12.1%|date=January 5, 2017|access-date=January 13, 2017|first=Alex|last=Calvin|archive-date=January 16, 2017|archive-url=https://web.archive.org/web/20170116172022/http://www.mcvuk.com/index.php/news/read/era-2016-physical-games-revenue-down-16-4-year-on-year-but-digital-up-12-1/0177257|url-status=live}}</ref> This has resulted in a decline in sales at GameStop. In 2017, GameStop reported a 16.4% drop in sales for the 2016 holiday season, but expressed optimism in its non-physical gaming businesses.<ref>{{cite news |url=https://www.bizjournals.com/dallas/news/2017/01/13/no-reindeer-games-gamestop-posts-16-percent.html | title=No reindeer games: GameStop posts 16 percent holiday sales drop | first=Korri |last=Kezar |work=[[American City Business Journals]] |date=January 13, 2017 |archive-date=January 15, 2017 |archive-url=https://web.archive.org/web/20170115231255/http://www.bizjournals.com/dallas/news/2017/01/13/no-reindeer-games-gamestop-posts-16-percent.html |url-status=live}}</ref><ref>{{cite press release |url=https://www.globenewswire.com/news-release/2017/01/13/905674/0/en/GameStop-Reports-2016-Holiday-Sales-Results.html| title=GameStop Reports 2016 Holiday Sales Results | publisher=[[GlobeNewswire]] | date=January 13, 2017}}</ref>

In February 2017, it was revealed that GameStop enforced, on all of its retail employees, a program known as Circle of Life. The policy itself was made to ensure that each employee would allow a certain percentage of their sales to pre-orders, rewards cards, used games, or have a customer trade in a game.<ref>{{cite news |url=https://kotaku.com/new-gamestop-program-leads-employees-to-lie-to-customer-1791874332 |work=[[Kotaku]] | first=Jason | last=Schreier |date=February 1, 2017 |title=New GameStop Program Leads Employees To Lie To Customers|archive-date=March 1, 2017 |archive-url=https://web.archive.org/web/20170301092854/http://kotaku.com/new-gamestop-program-leads-employees-to-lie-to-customer-1791874332|url-status=live}}</ref> Upon revelation of the policy, many current and former GameStop employees revealed stories of how the policy has led to them lying to customers. Many more claimed that the policy had led to poor working conditions and emotional distress.<ref>{{cite news |url=https://kotaku.com/we-are-all-scared-for-our-jobs-gamestop-employees-talk-1791963185 |work=[[Kotaku]] | first=Jason | last=Schreier |date=February 3, 2017 |title='We Are All Scared For Our Jobs': GameStop Employees Share Their Circle Of Life Stories|archive-date=March 1, 2017|archive-url=https://web.archive.org/web/20170301092827/http://kotaku.com/we-are-all-scared-for-our-jobs-gamestop-employees-talk-1791963185|url-status=live}}</ref> Later that month, GameStop reformed the program to solely focus on the store as a whole instead of the previous individual employee basis, though still maintaining a heavy emphasis on the individuals' performance to maintain strong store metrics.<ref>{{cite news |url=https://kotaku.com/sources-gamestop-changes-their-controversial-circle-of-1792735813 | date=February 24, 2017 |work=[[Kotaku]] | first=Jason | last=Schreier |title=Sources: GameStop Changes Controversial Circle of Life Program |archive-date=February 27, 2017 |archive-url=https://web.archive.org/web/20170227162842/http://kotaku.com/sources-gamestop-changes-their-controversial-circle-of-1792735813| url-status=live}}</ref>

====Financial losses====
[[File:Gamestop Kingstowne - 2.jpg|200px|thumb|Interior of a GameStop store in [[Kingstowne, Virginia]] in 2018, with several items on [[closeout (sale)|clearance]]]]
Shares of GameStop stock fell 16% in 2016.<ref>{{cite news |url=https://www.barrons.com/articles/videogame-sales-are-fading-and-its-crushing-gamestop-1484329331 |title=Videogame Sales Are Fading and It's Crushing GameStop |first=Emily |last=Bary |date=January 13, 2017 |work=[[Barron's (newspaper)|Barron's]] | url-access=subscription |archive-date=January 13, 2017 |archive-url=https://web.archive.org/web/20170113194953/http://www.barrons.com/articles/videogame-sales-are-fading-and-its-crushing-gamestop-1484329331|url-status=live}}</ref> On February 28, 2017, shares dropped an additional 8% following Microsoft's announcement of its [[Xbox Game Pass]] service.<ref>{{cite news |url=https://www.businessinsider.com/microsoft-xbox-game-pass-versus-gamestop-2017-2 |title=GameStop shares sank 8 percent on Tuesday after Microsoft unveiled a new attack on the used game business |first=Matt| last=Weinberger| date=February 28, 2017 |work=[[Business Insider]] |archive-date=March 3, 2017 |archive-url=https://web.archive.org/web/20170303050206/http://www.businessinsider.com/microsoft-xbox-game-pass-versus-gamestop-2017-2|url-status=live}}</ref> Following these reports, GameStop announced it would close over 150 stores in 2017 and expand its non-gaming business.<ref>{{cite news |url=https://www.wsj.com/articles/gamestop-closing-at-least-150-stores-amid-sales-declines-1490305703| first=Maria| last=Armental| work=[[The Wall Street Journal]] |date=March 23, 2017 | url-access=subscription |title=GameStop Closing At Least 150 Stores Amid Sales Decline|archive-date=March 23, 2017 |archive-url=https://web.archive.org/web/20170323231345/https://www.wsj.com/articles/gamestop-closing-at-least-150-stores-amid-sales-declines-1490305703| url-status=live}}</ref> On the same day, however, GameStop said it planned to open 65 new Technology Brand stores and 35 Collectibles stores due to a 44% and 28% increase in sales, respectively.<ref>{{Cite news |url=https://www.usatoday.com/story/tech/news/2017/03/24/gamestop-video-game-stores/99573598/ |title=GameStop closing 150 stores as it shifts business focus |first=Brett|last=Molina |work=[[USA TODAY]] |date=March 24, 2017 |archive-date=June 2, 2020|archive-url=https://web.archive.org/web/20200602095145/https://www.usatoday.com/story/tech/news/2017/03/24/gamestop-video-game-stores/99573598/|url-status=live}}</ref> GameStop's total revenue fell 7.6% to $3.06 billion in the quarter ended February 2, 2018.<ref name=reports2018>{{cite press release | url=https://www.globenewswire.com/news-release/2019/04/02/1795746/0/en/GameStop-Reports-Fourth-Quarter-and-Fiscal-2018-Results-and-Provides-Fiscal-2019-Outlook.html | title=GameStop Reports Fourth Quarter and Fiscal 2018 Results and Provides Fiscal 2019 Outlook | publisher=[[GlobeNewswire]] | date=April 2, 2019}}</ref>

''[[Business Insider]]'' described GameStop's investment in Spring Mobile as a failure, with estimates that the company spent $1.5 billion on acquisitions on Spring Mobile and store locations, but only gained $700 million from the sale of Spring Mobile to Prime Communications in 2018, leaving them $800 million in debt.<ref name=":3" />

In late June 2018, GameStop confirmed talks of a possible sale, with [[Sycamore Partners]], a [[private equity firm]], the most likely buyer,<ref>{{cite news |url=https://www.bizjournals.com/newyork/news/2018/06/19/gamestop-is-for-sale-and-sycamore-is-a-likely.html | title=GameStop is for sale and Sycamore is a likely buyer |first=Anthony |last=Noto | work=[[American City Business Journals]] |date=June 19, 2018 |archive-date=January 11, 2019 |archive-url=https://web.archive.org/web/20190111000305/https://www.bizjournals.com/newyork/news/2018/06/19/gamestop-is-for-sale-and-sycamore-is-a-likely.html |url-status=live}}</ref><ref>{{cite news |url=https://www.msn.com/en-gb/news/offbeat/gamestop-confirms-buyout-talks-as-downloads-take-their-toll/ar-AAyRAXQ|title=GameStop confirms buyout talks as downloads take their toll |first=Jon |last=Fingas | work=[[Engadget]] | via=[[MSN]]|date=June 19, 2018 |archive-date=June 22, 2018 |archive-url=https://web.archive.org/web/20180622164808/https://www.msn.com/en-gb/news/offbeat/gamestop-confirms-buyout-talks-as-downloads-take-their-toll/ar-AAyRAXQ |url-status=live}}</ref> with a target deal expected by February 2019.<ref>{{cite news |url=https://www.thestreet.com/investing/gamestop-climbs-on-report-of-private-equity-firms-are-bidding-for-the-videogame-retailer-14824880 |title=GameStop Climbs on Report P/E Firms Are Bidding for the Videogame Retailer |first=Rob |last=Lenihan |date=January 4, 2019 |website=[[TheStreet.com]] |archive-date=January 6, 2019|archive-url=https://web.archive.org/web/20190106010443/https://www.thestreet.com/investing/gamestop-climbs-on-report-of-private-equity-firms-are-bidding-for-the-videogame-retailer-14824880|url-status=live}}</ref> However, on January 29, 2019, GameStop reported it had stopped looking for a buyer for the company, due to a "lack of available financing on terms that would be commercially acceptable to a prospective acquirer", and was looking for other actions to help re-establish its financial ground.<ref>{{cite web | url=https://variety.com/2019/gaming/news/gamestop-just-gave-up-on-trying-to-sell-company-1203122042/ | title=GameStop Just Gave Up On Trying to Sell Company | first=Brian | last=Crecente | work=[[Variety (magazine)|Variety]] | date=January 29, 2019 | archive-date=January 29, 2019 | archive-url=https://web.archive.org/web/20190129192331/https://variety.com/2019/gaming/news/gamestop-just-gave-up-on-trying-to-sell-company-1203122042/ | url-status=live }}</ref> Shares dropped 27% to a 14-year low immediately following this announcement.<ref>{{cite news |url=https://markets.businessinsider.com/news/stocks/gamestop-stocks-crashes-as-board-terminates-plans-to-sell-2019-1-1027906143 |title=GameStop crashes to 14-year low after board terminates plans to sell the company (GME)| first=Jonathan |last=Garber | work=[[Business Insider]] |date=January 29, 2019 |archive-date=January 30, 2019 |archive-url=https://web.archive.org/web/20190130164639/https://markets.businessinsider.com/news/stocks/gamestop-stocks-crashes-as-board-terminates-plans-to-sell-2019-1-1027906143 |url-status=live}}</ref><ref>{{Cite web |last=Sun |first=Leo |date=2019-01-31 |title=3 Reasons GameStop Failed to Attract Buyers |url=https://www.fool.com/investing/2019/01/31/3-reasons-gamestop-failed-to-attract-buyers.aspx |access-date=2025-05-23 |website=The Motley Fool |language=en}}</ref>

The financial results for 2018 showed the biggest loss in GameStop company history.<ref>{{cite web |last1=Sinclair |first1=Brendan |title=GameStop posts $673m full-year loss |url=https://www.gamesindustry.biz/articles/2019-04-02-gamestop-posts-usd673-million-full-year-loss |website=GameIndustry.biz |access-date=April 21, 2019 |date=April 21, 2019 |archive-date=April 21, 2019 |archive-url=https://web.archive.org/web/20190421085912/https://www.gamesindustry.biz/articles/2019-04-02-gamestop-posts-usd673-million-full-year-loss |url-status=live }}</ref> For the 52-week period ending on February 2, 2019, GameStop reported a record-breaking [[net loss]] of $673 million.<ref name=reports2018/> This was a change from the net profit of $34.7 million in the previous year.<ref name=reports2018/> The net sales for fiscal year 2018 were down 3% year-on-year to $8.29 billion.<ref>{{cite news | url=https://www.destructoid.com/stories/gamestop-is-losing-so-much-money-548758.phtml | title=GameStop is losing so much money| last=Makedonski | first=Brett | website=[[Destructoid]] |date=April 2, 2019}}</ref> The company also eliminated its [[dividend]].<ref>{{Cite news | url=https://www.ibtimes.com/gamestop-stock-drops-30-video-game-shop-eliminate-dividends-2797842 | title=GameStop Stock Drops 30% As Video Game Shop Eliminate Dividends | first=Arthur | last=Villasanta | work=[[International Business Times]] | date=June 4, 2019}}</ref><ref>{{Cite news |last=Thomas |first=Patrick |date=2019-06-04 |title=GameStop Eliminates Dividend, as Sales Fall |url=https://www.wsj.com/articles/gamestop-eliminates-dividend-as-sales-fall-11559683871 |access-date=2025-05-23 |work=Wall Street Journal |language=en-US |issn=0099-9660}}</ref>

In December 2021, GameStop posted a larger-than-expected loss in the fiscal third quarter, and investors are waiting to hear how the ailing company plans to restructure its operations and entice gamers back. In extended trade, shares plummeted.<ref>{{Cite web |last=Schuetz |first=Molly |date=2021-12-08 |title=GameStop Reports Wider Loss as Investors Await News on Strategy - BNN Bloomberg |url=https://www.bnnbloomberg.ca/gamestop-reports-wider-loss-as-investors-await-news-on-strategy-1.1693081 |access-date=2021-12-08 |website=BNN}}</ref>

In March 2024, GameStop announced net income of $6.7 million for fiscal year 2023.

====Management changes====
[[File:GameStop Bayside Miami.jpg|200px|thumb|A store at the [[Bayside Marketplace]] in [[Miami]] in 2017]]
After being on medical leave since November 2017 due to reoccurrence of a [[brain tumor]], [[J. Paul Raines]] resigned from GameStop on January 31, 2018, and died on March 4, 2018.<ref>{{cite news | url=https://www.dallasnews.com/business/retail/2018/03/05/former-gamestop-ceo-paul-raines-dies-after-a-battle-with-cancer| title=Former GameStop CEO Paul Raines, known for his personable leadership style, dies at 53 | first=Maria | last=Halkias | date=March 3, 2018 | work=[[The Dallas Morning News]] |archive-date=June 12, 2018 |archive-url=https://web.archive.org/web/20180612142400/https://www.dallasnews.com/business/retail/2018/03/05/former-gamestop-ceo-paul-raines-dies-after-a-battle-with-cancer |url-status=live}}</ref> DeMatteo, GameStop's executive chairman stepped in as interim chief executive officer.<ref name=duetoillness>{{Cite news | url=https://www.dallasnews.com/business/retail/2018/02/05/gamestop-ceo-paul-raines-resigns-from-board-due-to-illness/ | title=GameStop CEO Paul Raines resigns from board due to illness | first=Maria | last=Halkias | work=[[Dallas Morning News]] | date=February 5, 2018 |archive-date=January 11, 2019 |archive-url=https://web.archive.org/web/20190111000306/https://www.dallasnews.com/business/retail/2018/02/05/gamestop-ceo-paul-raines-resigns-board-due-illness|url-status=live}}</ref> On February 6, 2018, the company announced Michael K. Mauler as [[CEO]] and member of the [[board of directors]].<ref>{{Cite news| url=https://www.marketwatch.com/story/gamestop-names-michael-mauler-its-new-ceo-2018-02-06 | title=GameStop names Michael Mauler its new CEO | last=Assis |first=Claudia |work=[[MarketWatch]]| url-access=limited | archive-date=February 24, 2020| archive-url=https://web.archive.org/web/20200224162133/https://www.marketwatch.com/story/gamestop-names-michael-mauler-its-new-ceo-2018-02-06 |url-status=live}}</ref> On May 11, 2018, Mauler resigned due to "personal reasons" and chairman Dan DeMatteo was named interim CEO. Mauler did not take any severance package or separation benefits.<ref>{{Cite news |url=https://comicbook.com/gaming/2018/05/11/gamestop-ceo-michael-mauler-resigns/ |title=GameStop CEO Unexpectedly Resigns |last=Hayes |first=Matthew |date=May 11, 2018 |work=Comicbook.com |access-date=May 11, 2018 |language=en |archive-date=February 24, 2020 |archive-url=https://web.archive.org/web/20200224162133/https://comicbook.com/gaming/2018/05/11/gamestop-ceo-michael-mauler-resigns/ |url-status=live }}</ref> On May 31, 2018, GameStop named Shane Kim as interim CEO.<ref>{{cite press release |title=GameStop Reports First Quarter Fiscal 2018 Results |publisher=GameStop |url=http://news.gamestop.com/news-releases/news-release-details/gamestop-reports-first-quarter-fiscal-2018-results |date=May 31, 2018 |archive-date=September 24, 2020 |archive-url=https://web.archive.org/web/20200924123527/http://news.gamestop.com/news-releases/news-release-details/gamestop-reports-first-quarter-fiscal-2018-results |url-status=live}}</ref> Kim was replaced by George Sherman in March 2019.<ref>{{Cite news | url=https://www.marketwatch.com/story/gamestop-names-new-ceo-2019-03-21 | title=GameStop names new CEO |website=[[MarketWatch]] |last=Cherney | first=Max A. | url-access=subscription | archive-date=November 27, 2020|archive-url=https://web.archive.org/web/20201127004637/https://www.marketwatch.com/story/gamestop-names-new-ceo-2019-03-21|url-status=live}}</ref><ref>{{Cite news |url=https://www.wsj.com/articles/gamestop-names-new-ceo-11553201173 |title=GameStop Names New CEO|last=Al-Muslim |first=Aisha |date=March 21, 2019 |work=[[The Wall Street Journal]] | url-access=subscription |issn=0099-9660|archive-date=January 27, 2021 |archive-url=https://web.archive.org/web/20210127231058/https://www.wsj.com/articles/gamestop-names-new-ceo-11553201173 |url-status=live}}</ref><ref>{{Cite news |url=https://www.bizjournals.com/dallas/news/2019/03/21/gamestop-names-retail-veteran-as-new-ceo-at.html |title=GameStop names retail veteran as new CEO at challenged retailer| first=Brian | last=Womack |work=[[American City Business Journals]] | date=March 21, 2019 |archive-date=January 27, 2021|archive-url=https://web.archive.org/web/20210127231059/https://www.bizjournals.com/dallas/news/2019/03/21/gamestop-names-retail-veteran-as-new-ceo-at.html|url-status=live}}</ref> On March 12, 2020, it was announced that a group of shareholders including Hestia Capital Partners LP and Permit Capital Enterprise Fund LP sent a "threat" letter to the Grapevine, Texas, company's board, urging it to appoint a stockholder representative as a director.<ref>{{Cite news |url=https://www.wsj.com/articles/gamestop-under-renewed-pressure-from-unhappy-investor-group-11583990600 |title=GameStop Under Renewed Pressure from Unhappy Investor Group | first=Corrie | last=Driebusch |date=March 12, 2020 | work=[[The Wall Street Journal]] | url-access=subscription | archive-date=January 27, 2021 |archive-url=https://web.archive.org/web/20210127231105/https://www.wsj.com/articles/gamestop-under-renewed-pressure-from-unhappy-investor-group-11583990600 |url-status=live }}</ref>

====Turnaround efforts====
=====American division efforts=====
 [[File:14th St Union Sq W td (2019-10-28) 29.jpg|200px|thumb|A combined GameStop–ThinkGeek store in [[New York City]] in 2019]]
All GameStop stores in [[Puerto Rico]] were shut at the end of March 2016, citing increased rates of government taxes.<ref>{{cite news |last=Makuch |first=Eddie |date=January 11, 2016 |title=Gamestop Closing All Puerto Rico Stores Very Soon |website=[[GameSpot]] |url=https://www.gamespot.com/articles/gamestop-closing-all-puerto-rico-stores-very-soon/1100-6433702/ |url-status=live |archive-url=https://web.archive.org/web/20201108125104/https://www.gamespot.com/articles/gamestop-closing-all-puerto-rico-stores-very-soon/1100-6433702/ |archive-date=November 8, 2020}}</ref>

In July 2019, GameStop partnered with an outside design firm, [[R/GA]], to put forth plans to revamp stores to focus on [[competitive gaming]] and [[retrogaming]], and to introduce new ways for customers to try games before buying them.<ref>{{cite web|url=https://www.ign.com/articles/2019/07/16/gamestop-to-create-new-store-concept-offer-retro-gaming |title=GameStop to Create New Store Concept, Offer Retro Gaming|date=July 16, 2019|last=Wilds|first=John |publisher=IGN|website=www.ign.com|access-date=January 27, 2021|archive-date=November 8, 2020|archive-url= https://web.archive.org/web/20201108002911/https://www.ign.com/articles/2019/07/16/gamestop-to-create-new-store-concept-offer-retro-gaming |url-status=live}}</ref><ref>{{cite web|url=https://www.gamespot.com/articles/gamestop-is-testing-much-different-store-layouts-i/1100-6468468/ |title=GameStop Is Testing Much Different Store Layouts, Including Retro-Focused Ones|date=July 17, 2019|last=Makuch|first=Eddie |publisher=GameSpot|website=www.gamespot.com |access-date=January 27, 2021|archive-date=November 8, 2020|archive-url= https://web.archive.org/web/20201108002342/https://www.gamespot.com/articles/gamestop-is-testing-much-different-store-layouts-i/1100-6468468/ |url-status=live}}</ref> Each concept store is expected to be mutually exclusive.{{Citation needed|date=January 2021}}

[[File:GameStop interior 2019.jpg|200px|thumb|Interior of a store in 2019]]
A leaked email revealed on July 31, 2019, indicated that 50 employees, including district and regional managers,<ref>{{cite news | url=https://www.playstationlifestyle.net/2019/08/01/mass-gamestop-layoffs-underway-following-company-restructure/ | title=GameStop Hit With Massive Layoffs Following Company Restructure | first=JOSEPH | last=YADEN | work=[[PlayStation LifeStyle]] | archive-date=August 1, 2019 | archive-url=https://web.archive.org/web/20190801164338/https://www.playstationlifestyle.net/2019/08/01/mass-gamestop-layoffs-underway-following-company-restructure/ | url-status=live}}</ref> would be laid off as a result of reorganization efforts.<ref>{{cite web|url=https://techraptor.net/content/gamestop-reportedly-laying-off-over-50-employees-as-part-of-reorganization |title=GameStop Reportedly Laying Off Over 50 Employees As Part of Reorganization|first=John|last=Quilty |date=July 31, 2019|publisher=TechRaptor|access-date=January 27, 2021|archive-date=August 1, 2019| archive-url= https://web.archive.org/web/20190801193730/https://techraptor.net/content/gamestop-reportedly-laying-off-over-50-employees-as-part-of-reorganization | url-status=live}}</ref> In August 2019, GameStop laid off over 120 people, including about half of the staff of ''Game Informer'', as part of its "GameStop Reboot initiative".<ref>{{cite news | url=https://kotaku.com/gamestop-lays-off-over-100-people-including-nearly-hal-1837418024 | title=GameStop Lays Off Over 100 People, Including Nearly Half Of Game Informer's Staff | first=Jason | last=Schreier | work=[[Kotaku]] | date=August 20, 2019 | archive-date=August 20, 2019 | archive-url =https://web.archive.org/web/20190820212136/https://kotaku.com/gamestop-lays-off-over-100-people-including-nearly-hal-1837418024 | url-status=live}}</ref>

In August 2019, [[Michael Burry]]'s investment firm [[Scion Asset Management]] sent a letter to GameStop executives urging the company to engage in a $238 million [[stock buyback]]. The letter also revealed that Scion owned approximately 2,750,000 shares, or about 3.05% of GameStop. The stock price of GameStop, which had been in steady decline in share price since late January 2019, spiked roughly 20% after Burry revealed that he was buying the stock in an interview with ''[[Barron's (newspaper)|Barron's]]''. In the interview, Burry explained that both [[Sony]] and [[Microsoft]] would enter the next console generation with a physical disc drive and therefore likely extend the longevity of GameStop. He also noted that the company's balance sheet was in good condition.<ref>{{cite press release | url=https://www.businesswire.com/news/home/20190819005633/en/Scion-Asset-Management-Urges-GameStop-Buy-238 | title=Scion Asset Management Urges GameStop to Buy Back $238 Million of Stock with Cash on Hand | date=August 19, 2019 | publisher=[[Business Wire]] | archive-date=August 28, 2019 | archive-url=https://web.archive.org/web/20190828190522/https://www.businesswire.com/news/home/20190819005633/en/Scion-Asset-Management-Urges-GameStop-Buy-238%3Fmod%3Darticle_inline | url-status=live }}</ref><ref>{{cite news | url=https://markets.businessinsider.com/news/stocks/gamestop-stock-price-spikes-big-short-michael-burry-goes-long-2019-8-1028467346 | title=GameStop soars after 'Big Short' investor Michael Burry says it still has big upside (GME) | date=August 22, 2019 | first=Ben | last=Wick | work=[[Business Insider]] | archive-date=August 22, 2019 | archive-url=https://web.archive.org/web/20190822175118/https://markets.businessinsider.com/news/stocks/gamestop-stock-price-spikes-big-short-michael-burry-goes-long-2019-8-1028467346 | url-status=live}}</ref> In December 2019, GameStop announced that it spent $178.6 million to buy 34.6 million shares, or 34% of the [[shares outstanding]], at an average price of $5.14 per share.<ref>{{cite press release |title=GameStop Reports Third Quarter Fiscal 2019 Results and Updates Fiscal 2019 Guidance |url=https://www.globenewswire.com/news-release/2019/12/10/1958906/0/en/GameStop-Reports-Third-Quarter-Fiscal-2019-Results-and-Updates-Fiscal-2019-Guidance.html | publisher=[[GlobeNewswire]] |archive-url= https://web.archive.org/web/20200104132356/https://www.globenewswire.com/news-release/2019/12/10/1958906/0/en/GameStop-Reports-Third-Quarter-Fiscal-2019-Results-and-Updates-Fiscal-2019-Guidance.html |archive-date=January 4, 2020 |date=December 10, 2019 |url-status=live}}</ref> In May 2020, Burry lowered his stake in GameStop.<ref>{{cite news|url=https://www.barrons.com/articles/gamestop-stock-big-short-investor-michael-burry-lowers-stake-51588800981 |first=Ed |last=Lin | work=[[Barron's (newspaper)|Barron's]] |date=May 7, 2020 |title='Big Short' Investor Michael Burry Lowers Stake in GameStop Stock |archive-date=January 25, 2021 |archive-url= https://web.archive.org/web/20210125235036/https://www.barrons.com/articles/gamestop-stock-big-short-investor-michael-burry-lowers-stake-51588800981 |url-status=live}}</ref>

After reporting that it had missed analysts' expectations during the 2nd quarter of the fiscal year 2019 ending August 2019, as reported in September 2019, GameStop announced that it was planning to close about 180–200 underperforming stores of the 5,700 it had worldwide in the short term, along with developing metrics to evaluate other potential closures over the next two years.<ref>{{cite news | url=https://www.gamesindustry.biz/articles/2019-09-10-gamestop-to-close-180-200-underperforming-stores-globally-this-year | title=GameStop to close 180-200 "underperforming" stores globally this year | first=Rebekah | last=Valentine | work=[[GamesIndustry.biz]] | date=September 10, 2019 | archive-date=September 11, 2019 | archive-url=https://web.archive.org/web/20190911202737/https://www.gamesindustry.biz/articles/2019-09-10-gamestop-to-close-180-200-underperforming-stores-globally-this-year | url-status=live}}</ref> In March 2020, four members of GameStop's board of directors – Dan DeMatteo, Gerald Szczepanski, Larry Zilavy, and Steve Koonin – stepped down and were replaced by [[Reggie Fils-Aimé]], Bill Simon and J.K. Symancyk as part of the company's effort to turn around the business.<ref>{{cite news | url=https://venturebeat.com/2020/03/09/reggie-fils-aime-gamestop/ | title=GameStop appoints Reggie Fils-Aimé to board of directors | first=Jeff | last=Grubb | work=[[Venture Beat]] | date=March 9, 2020 | archive-date=March 10, 2020 | archive-url=https://web.archive.org/web/20200310074030/https://venturebeat.com/2020/03/09/reggie-fils-aime-gamestop/ | url-status = live }}</ref>

On October 8, 2020, GameStop announced an agreement with Microsoft to migrate backend systems to [[Microsoft 365]] platforms including [[Microsoft Dynamics CRM|Dynamics 365]], also including in-store usage of [[Microsoft Surface]] products by employees.<ref>{{cite press release |url=https://news.microsoft.com/2020/10/08/gamestop-announces-multiyear-strategic-partnership-with-microsoft/ |title=GameStop announces multiyear strategic partnership with Microsoft |publisher=[[Microsoft]] |date=October 8, 2020}}</ref><ref>{{Cite web |last=Bary |first=Emily |title=GameStop stock surges after Microsoft partnership announcement |url=https://www.marketwatch.com/story/gamestop-stock-surges-after-microsoft-partnership-announcement-2020-10-08 |url-status=live |archive-url=https://web.archive.org/web/20201014192042/https://www.marketwatch.com/story/gamestop-stock-surges-after-microsoft-partnership-announcement-2020-10-08 |archive-date=October 14, 2020 |access-date=October 8, 2020 |website=MarketWatch |language=en-US}}</ref> It was later reported that this agreement would also include [[revenue sharing]] on all digital game purchases for [[Xbox Series X and S]] for each product sold by the retailer, although the exact percentage of this share was not disclosed.<ref>{{Cite web |last=Orland |first=Kyle |date=October 15, 2020 |title=Microsoft will give GameStop a share of Xbox's digital revenues |url=https://arstechnica.com/gaming/2020/10/microsoft-will-give-gamestop-a-share-of-xboxs-digital-revenues/ |url-status=live |archive-url=https://web.archive.org/web/20210119224605/https://arstechnica.com/gaming/2020/10/microsoft-will-give-gamestop-a-share-of-xboxs-digital-revenues/ |archive-date=January 19, 2021 |access-date=October 20, 2020 |website=Ars Technica |language=en-us}}</ref>

=====Australian division efforts=====
[[File:EB Carindale.jpg|300px|thumb|An EB Games and ZiNG Pop Culture 'Hybrid' store from GameStop's Australian division located in [[Westfield Carindale]], Brisbane in 2020]]
GameStop's Australian division has been focused on increasing higher-margin merchandise and opening more large format hybrid stores which include both an EB Games and Zing Pop Culture store in a single location. These locations have an expanded selection of merchandise based on both games and pop culture. ''[[The Sydney Morning Herald]]'' reported the diversification into merchandise through the establishment of the Zing Pop Culture brand in 2014 had been vital in keeping the company profitable. The newspaper reported the greater focus on merchandise allowed the company to tap into the lucrative, higher-margin merchandise market of t-shirts, figurines and bobbleheads. The newspaper noted former staff agreed that the Australian divisions' merchandise pivot has been key to the divisions survival in Australia's tough retail landscape. However, they also pointed to the pre-owned games segment as a major part of its success.<ref>{{cite web |last1=Walker |first1=Alex |title=EB Games Are Shutting Stores Across Australia [Update] |url=https://www.kotaku.com.au/2020/01/eb-games-stores-shutting-down-australia/ |archive-url=https://web.archive.org/web/20200109061711/https://www.kotaku.com.au/2020/01/eb-games-stores-shutting-down-australia/ |url-status=dead |archive-date=January 9, 2020 |website=Kotaku Australia |access-date=29 March 2022 |language=en-AU |date=8 January 2020}}</ref><ref>{{cite web |last1=Elmas |first1=Matthew |title=EB Games to shutter 19 stores as digital competition bites |url=https://www.smartcompany.com.au/industries/retail/eb-games-stores-shutting/ |website=SmartCompany |access-date=29 March 2022 |date=10 January 2020}}</ref><ref>{{cite web |last1=Powell |first1=Dominic |title='Mario cuts through everything': How EB Games survived retail's great battle |url=https://www.smh.com.au/business/companies/mario-cuts-through-everything-how-eb-games-survived-retail-s-great-battle-20210204-p56zge.html |website=The Sydney Morning Herald |access-date=29 March 2022 |language=en |date=5 February 2021}}</ref> GameStop's Australian division has been the only profitable segment of the global GameStop business for the 2020, 2021 and 2022 fiscal years. The company reported profits of US$9.4 million, US$52.2 million and US$30.6 million for each fiscal year respectively.

====COVID-19 pandemic====

=====American division pandemic response=====

[[File:Gamestop Liquidation - Melbourne Square Mall - Melbourne, FL.jpg|200px|thumb|A store in the [[Melbourne Square (mall)|Melbourne Square]] mall in [[Melbourne, Florida]] being [[liquidation|liquidated]] in December 2020]]
[[File:Game Stop 33rd St for 2020 election jeh.jpg|200px|thumb|A GameStop and [[ThinkGeek]] store in [[New York City]] in November 2020, boarded up due to concerns of violence following [[2020 United States presidential election|the presidential election]]]]
Government efforts to slow the spread of [[COVID-19]] required GameStop to close the physical operation of all of its 3,500 stores from roughly March to May 2020, though not without some controversy in the early stages. Throughout this time, it continued with online and curbside sales. Sherman and the board of directors took a 50% pay cut while other executives took a 30% cut to offset losses.<ref>{{Cite web |last=Amore |first=Samson |date=2020-04-23 |title=GameStop CEO George Sherman, Executive Team Take 50% Pay Cut Amid Coronavirus Pandemic |url=https://www.thewrap.com/gamestop-ceo-george-sherman-executive-team-take-50-pay-cut-amid-coronavirus-pandemic/ |access-date=2025-05-23 |website=TheWrap |language=en-US}}</ref> While digital sales grew by 519%, its retail dropped by more than 30% in the same period from the prior year, and the chain reported a {{USD|165 million}} loss in contrast to a {{USD|6.8 million}} for the same quarter in 2019. However, with the [[Xbox Series X]] and [[PlayStation 5]] still planned for release in the latter part of 2020, Sherman expected to be able to recover from these losses.<ref>{{cite news | url=https://www.gamespot.com/articles/gamestop-loses-165-million-after-temporarily-closi/1100-6478216/ | title=GameStop Loses $165 Million After Temporarily Closing More Than 3,000 Stores Due To COVID-19 | first=Eddie | last=Makuch | work=[[GameSpot]] | date=June 9, 2020 | archive-date=June 10, 2020 | archive-url=https://web.archive.org/web/20200610035411/https://www.gamespot.com/articles/gamestop-loses-165-million-after-temporarily-closi/1100-6478216/ | url-status = live }}</ref>

In mid-March 2020, GameStop faced criticism for its response to the [[COVID-19 pandemic]] in North America, with employees and social media users accusing the company of placing its business ahead of the safety of its staff and customers, in order to capitalize on an influx of video game purchases and related products for entertainment during the pandemic and related lockdowns.<ref name=noidea>{{Cite news |url=https://www.vice.com/en/article/game-stop-struggling-coronavirus-cleaning-supplies-employees/ |title=GameStop Has No Idea What to Do About Coronavirus |last=Klepek |first=Patrick |work=[[Vice Media]] |date=March 17, 2020 |archive-date=September 24, 2020|archive-url=https://web.archive.org/web/20200924124659/https://www.vice.com/en_us/article/4agpwp/game-stop-struggling-coronavirus-cleaning-supplies-employees |url-status=live}}</ref><ref name=outraged/><ref name=failing>{{Cite news |url=https://www.polygon.com/2020/3/17/21184063/gamestop-stores-coronavirus-covid-19-employees| title=GameStop workers say the company is failing to address the coronavirus| last=Campbell| first=Colin |website=[[Polygon (website)|Polygon]] |date=March 17, 2020 |archive-date=September 9, 2020 |archive-url=https://web.archive.org/web/20200909063711/https://www.polygon.com/2020/3/17/21184063/gamestop-stores-coronavirus-covid-19-employees|url-status=live}}</ref> GameStop stated that it would suspend in-store events (including midnight launches) and the use of demo stations, perform additional cleaning, and structure lines and limit store capacity to enforce [[physical distancing]].<ref name=failing/> To prevent enlarged crowds for two high-profile video game releases on March 20—''[[Animal Crossing: New Horizons]]'' and ''[[Doom Eternal]]'', GameStop announced that it would begin selling ''Doom Eternal'' in its stores a day ahead of its official release date.<ref>{{Cite news |url=https://www.gamespot.com/articles/gamestop-sold-doom-eternal-a-day-early-due-to-soci/1100-6474952/ |title=GameStop Sold Doom Eternal A Day Early Due To "Social Distancing" Concerns | first=Eddie | last=Makuch |website=[[GameSpot]] |archive-date=November 15, 2020 |archive-url=https://web.archive.org/web/20201115173814/https://www.gamespot.com/articles/gamestop-sold-doom-eternal-a-day-early-due-to-soci/1100-6474952/|url-status=live}}</ref>

''[[Polygon (website)|Polygon]]'' reported on March 17 that several stores in the San Francisco area had remained open, seemingly in violation of a [[stay-at-home order]] issued by Bay Area counties that restricts non-essential business. Several employees told ''Polygon'' and ''[[Vice Media|Vice]]'' that they did not receive additional cleaning supplies that were to be provided by corporate, requiring them to purchase them on their own and request reimbursement.<ref name=noidea/><ref name=essential>{{Cite news |url=https://arstechnica.com/gaming/2020/03/does-gamestop-really-need-to-be-open-during-the-coronavirus-pandemic/|title=GameStop says it's "essential retail" to fight forced closures [Updated] |last=Orland |first=Kyle |website=[[Ars Technica]] | date=March 20, 2020 |archive-date=April 8, 2020 |archive-url=https://web.archive.org/web/20200408220816/https://arstechnica.com/gaming/2020/03/does-gamestop-really-need-to-be-open-during-the-coronavirus-pandemic/ |url-status=live}}</ref><ref name=failing/>

A memo obtained by ''[[Kotaku]]'' on March 19 indicated that GameStop saw itself as an [[essential business]] because some of its technology products are relevant to enhancing [[remote work]], required in many cases during the pandemic. GameStop reiterated the safety measures that it had put in place, and also announced that it would reduce store hours and suspend all trade-ins until at least March 29, 2020, and offer curbside pickup.<ref>{{Cite news |url=https://www.theverge.com/2020/3/19/21187357/gamestop-coronavirus-essential-retail-shut-down-open |title=GameStop claims it is "essential retail" to remain open amid coronavirus pandemic |last=Farokhmanesh |first=Megan |website=[[The Verge]] |date=March 19, 2020 |archive-date=December 31, 2020 |archive-url=https://web.archive.org/web/20201231022221/https://www.theverge.com/2020/3/19/21187357/gamestop-coronavirus-essential-retail-shut-down-open |url-status=live}}</ref><ref name=essential/> An employee of a GameStop store in [[Athens, Georgia]] (which was shut down on March 20 by order of the police to comply with a similar order in [[Athens – Clarke County metropolitan area|Athens-Clark County]]) disputed the argument, saying that the high-end, gaming-oriented peripherals (such as keyboards and mice) sold at GameStop were not necessarily essential for remote work, and that cheaper alternatives were readily available at stores allowed to remain open, such as [[Walmart]].<ref name=outraged/>

[[California]] had announced a state-wide stay-at-home order on March 19; while GameStop had originally stated to its stores it was an essential retail business, by March 20 GameStop instead decided to close down its California branches, while keeping most other nationwide stores open.<ref>{{Cite news | url=https://www.theverge.com/2020/3/20/21188799/gamestop-california-store-closures-indefinite-coronavirus | title=GameStop to close all California stores indefinitely | last=Lyles | first=Taylor | website=[[The Verge]] | date=March 20, 2020 | archive-date=April 8, 2020 | archive-url=https://web.archive.org/web/20200408220811/https://www.theverge.com/2020/3/20/21188799/gamestop-california-store-closures-indefinite-coronavirus | url-status=live}}</ref><ref name=outraged>{{Cite news |url=https://www.cnn.com/2020/03/20/tech/gamestop-open-essential-business/index.html |title=GameStop says it's an essential business. Employees are outraged |last=Liao |first=Shannon |website=[[CNN]] | date=March 20, 2020 |archive-date=April 8, 2020 |archive-url=https://web.archive.org/web/20200408220812/https://www.cnn.com/2020/03/20/tech/gamestop-open-essential-business/index.html|url-status=live}}</ref> Following similar stay-at-home orders in [[New York (state)|New York]] and [[Illinois]] over the following days, GameStop announced that it would close all locations effective March 22, with selected locations continuing to offer contact-free curbside pickup (where an employee, wearing either gloves or a bag over their hands, would slip the customer's order through the front door, remaining behind the glass)<ref name=bags>{{Cite news |url=https://www.bostonglobe.com/2020/04/03/business/after-instructing-employees-wrap-their-hands-plastic-bags-go-back-work-gamestop-shuts-down-mass-stores/ |title=After instructing employees to wrap their hands in plastic bags and go back to work, GameStop shuts down Mass. stores | website=[[The Boston Globe]]| date=April 3, 2020 | last=Johnston | first=Katie | archive-date=November 24, 2020 | archive-url=https://web.archive.org/web/20201124234113/https://www.bostonglobe.com/2020/04/03/business/after-instructing-employees-wrap-their-hands-plastic-bags-go-back-work-gamestop-shuts-down-mass-stores/|url-status=live}}</ref> and home delivery.<ref>{{Cite news | url=https://arstechnica.com/gaming/2020/03/does-gamestop-really-need-to-be-open-during-the-coronavirus-pandemic/ | title=GameStop shuts down regular operations amid coronavirus closures | last=Orland | first=Kyle | website=[[Ars Technica]] |date=March 22, 2020 | archive-date=April 8, 2020 | archive-url=https://web.archive.org/web/20200408220816/https://arstechnica.com/gaming/2020/03/does-gamestop-really-need-to-be-open-during-the-coronavirus-pandemic/ | url-status=live}}</ref> In early April 2020, a location in [[Dorchester, Boston]] received a nuisance citation by local police, who deemed the curbside pickup a violation of the [[Massachusetts]] stay-at-home order. GameStop subsequently ceased offering curbside pickup in the state.<ref name=bags/><ref>{{cite web | url=https://www.polygon.com/2020/4/5/21208658/gamestop-coronavirus-shutdown-essential-business-employees-boston-massachusetts | title=Boston authorities shut down GameStop and stores close statewide | date=April 5, 2020 | work=[[Polygon (website)|Polygon]] | first=Owen | last=Good | archive-date=January 27, 2021 | archive-url=https://web.archive.org/web/20210127231033/https://www.polygon.com/2020/4/5/21208658/gamestop-coronavirus-shutdown-essential-business-employees-boston-massachusetts | url-status=live}}</ref>

=====Canadian division pandemic response=====

GameStop's Canadian subsidiary EB Games faced similar criticism on March 20 as well, as morning lineups for the new ''Animal Crossing'' and ''Doom'' games at a Toronto location induced large public gatherings discouraged by officials. The city's public health chief Eileen de Villa stated that the gathering did not "line up with what we expect from those in our community who are interested in protecting and strengthening our community". [[Mayor of Toronto|Mayor]] [[John Tory]] accused the company of "placing commerce above the public interest", while [[Premier of Ontario]] [[Doug Ford]] stated that "everyone in this province has a responsibility to make sure we protect each other and I am very, very disappointed in the store owner that would do this". EB Games later announced that it would close all Canadian stores on March 21.<ref>{{Cite web|url=https://www.thestar.com/business/2020/03/20/ford-frustrated-as-dozens-line-up-for-eb-games-launch-despite-pandemic.html|title=EB Games to close Saturday, as Ford fumes while dozens line up for launch, despite pandemic|date=March 20, 2020|website=Toronto Star|language=en|access-date=March 21, 2020|archive-date=April 8, 2020|archive-url=https://web.archive.org/web/20200408220817/https://www.thestar.com/business/2020/03/20/ford-frustrated-as-dozens-line-up-for-eb-games-launch-despite-pandemic.html|url-status=live}}</ref>

=====Australian division pandemic response=====
[[File:EB Chermside.jpg|200px|thumb|An EB Games store from GameStop's Australian division located in [[Westfield Chermside]], [[Brisbane]], [[Australia]] in 2022]]
GameStop's Australian subsidiary [[EB Games Australia]] was the only arm of the global GameStop business not to report huge COVID-related losses, with sales instead soaring by 30 per cent. In Australia COVID-19 lockdowns were managed by the [[Australian Federal Government]] [[National Cabinet]] which largely permitted retail stores to remain open with capacity limits in place.<ref>{{Cite web |title=A timeline of Covid-19 in Australia, two years on |url=https://www.timeout.com/melbourne/things-to-do/a-timeline-of-covid-19-in-australia-two-years-on |access-date=2022-06-30 |website=Time Out Melbourne |language=en-AU}}</ref> This meant, unlike other arms of the GameStop business, the Australian arms stores remained open for the substantial majority of the pandemic. National Cabinet only mandated some brief regionally targeted entire store closures with stores in the Australian state of [[Victoria (Australia)|Victoria]] being the most heavily impacted. For fiscal year 2020 the Australian arm reported [[net sales]] of US$625.3 million and operating earnings of US$52.2 million. This was an increase of US$42.8 million in operating earnings compared to the pre-pandemic Fiscal Year 2019 where the company posted net sales of US$525.4 million and operating earnings of US$9.4 million.<ref name="2020-10K"/>

====European decline====

In December 2016, GameStop closed its UK website, completely leaving the UK market.<ref>{{cite web|url=http://www.gamestop.co.uk/|archive-url=https://web.archive.org/web/20161228060307/http://www.gamestop.co.uk/|url-status=dead|archive-date=2016-12-28|title=gamestop.co.uk has moved!|date=28 December 2016|access-date=12 December 2024}}</ref><ref>{{cite news|url=https://www.gamesindustry.biz/whatever-happened-to-gamestop-co-uk|title=Whatever happened to GameStop.co.uk?|first=Christopher|last=Dring|work=[[Gamer Network|GamesIndustry.biz]]|date=17 February 2017|access-date=12 December 2024}}</ref> In December 2019, GameStop announced that it wind down its Nordic operations during 2020, closing its 100 stores across Denmark,<ref>{{cite news|url=https://www.computerworld.dk/art/276810/gamestop-lukker-i-danmark|title=GameStop lukker i Danmark|first=Rasmus|last=Elm Rasmussen|work=computerworld.dk|date=13 December 2019|access-date=12 December 2024|language=Danish}}</ref> Finland,<ref>{{cite news |last=Karismo |first=Anna |date=12 December 2019 |title=Peliketju Gamestop sulkee myymälänsä Suomessa ensi vuonna |trans-title=The game chain Gamestop will close its stores in Finland next year. |url=https://yle.fi/a/3-11115554 |access-date=12 December 2024 |work=[[Yle]] |language=Finnish}}</ref> Norway<ref>{{cite news|url=https://norwaytoday.info/finance/full-stop-for-gamestop-in-the-nordic-region/|title=Full stop for Gamestop in the Nordic region|first=Victoria|last=Garza|work=norwaytoday.info|date=13 December 2019|access-date=12 December 2024}}</ref> and Sweden<ref>{{cite web |last=Arstad Djurberg |first=Joakim |date=4 November 2019 |title=Stor besvikelse efter Gamestops sorti: "de trevligaste kunderna man kan tänka sig" |trans-title=Great disappointment after GameStop's exit: "the nicest customers imaginable" |url=https://computersweden.se/article/1279978/stor-besvikelse-efter-gamestops-sorti-de-trevligaste-kunderna-man-kan-tanka-sig.html |access-date=12 December 2024 |work=[[Computerworld|Computer Sweden]] |language=Swedish}}</ref> by July 2020, and exiting those countries.<ref>{{cite news|url=https://www.gamesindustry.biz/gamestop-winding-down-operations-in-denmark-finland-norway-and-sweden|title=GameStop winding down operations in Denmark, Finland, Norway, and Sweden|first=Rebekah|last=Valentine|work=[[Gamer Network|GamesIndustry.biz]]|date=10 December 2019|access-date=12 December 2024}}</ref>

By the end of 2020, GameStop had 954 stores in Europe and sales had fallen to $789 million, with losses of $78.7 million. That November, Ryan Cohen's open letter to the GameStop board suggesting closing or selling loss making operations in Europe was an indication of GameStop's future plans for Europe.<ref>{{cite web|url=https://s.wsj.net/public/resources/documents/RC_Ventures_Letter_to_GameStop.pdf|title=RC Ventures Letter to GameStop|publisher=[[The Wall Street Journal]]|date=20 November 2020|access-date=12 December 2024}}</ref>

In October 2022, GameStop decided to withdraw completely from Austria and Switzerland, closing their twenty stores.<ref>{{cite news|url=https://www.weekend.at/chronik/gamestop-schliesst-in-oesterreich|title=Handel: Gamestop macht in Österreich dicht|first=Lukas|last=Steinberger-Weiß|work=Weekend.at|date=10 November 2022|access-date=12 December 2024|language=German}}</ref><ref>{{cite news|url=https://www.20min.ch/story/gamestop-will-in-der-schweiz-alle-filialen-schliessen-massenentlassung-droht-375595398547|title=Gamestop will in der Schweiz alle Filialen schliessen – Massenentlassung droht|first=Philippe|last=Coradi|work=[[20 Minuten]]|date=7 October 2022|access-date=12 December 2024|language=German}}</ref> In Germany, its business would be downsized with only 70 of 170 stores remaining open by March.<ref>{{cite news|url=https://gamerant.com/gamestop-stores-shutdown-europe/|title=GameStop Closed Down More Stores in Europe|first=Pam K|last=Ferdinand|work=[[Valnet|Game Rant]]|date=10 October 2022|access-date=12 December 2024}}</ref><ref>{{cite news|url=https://www.gameswirtschaft.de/wirtschaft/gamestop-filialen-schliessen-120123/|title=Weitere GameStop-Filialen schließen|author=<!--not stated-->|work=GamesWirtschaft|date=12 January 2023|access-date=12 December 2024|language=German}}</ref><ref>{{cite news|url=https://www.rtl.de/cms/gamestop-schliesst-80-filialen-in-deutschland-diese-standorte-sind-betroffen-5027831.html|title=Gamestop muss viele Filialen schließen|first=Aristotelis|last=Zervos|work=[[RTL (German TV channel)|RTE]]|date=4 February 2023|access-date=12 December 2024|language=German}}</ref> In December, the Swiss business was saved by the small Italian gaming retailer, Cidiverte which operates ten stores in Italy, who took over and rebranded all the Swiss GameStop stores by May 2023.<ref>{{cite news|url=https://esports.ch/esportsnews/gamestop-italienische-ladenkette-gamelife-uebernimmt-schweizer-filialen/|title=Gamestop: Italienische Ladenkette "Gamelife" übernimmt Schweizer Filialen|author=<!--not stated-->|work=esports.ch|date=1 May 2023|access-date=12 December 2024|language=German}}</ref>

In March 2023, GameStop decided to leave Ireland after another loss making year accumulated its losses to €45.5 million. It closed its 35 stores by June costing GameStop €13 million in severance payments and lease buyouts.<ref>{{cite web|url=https://gamestopie.zendesk.com/hc/en-150/articles/12692889692818-FAQs|title=GameStop Closure in Ireland|publisher=GameStop|date=23 August 2023|access-date=12 December 2024}}</ref><ref>{{cite news|url=https://www.irishexaminer.com/business/companies/arid-41132254.html|title=GameStop confirms closure of Irish stores after losses surpass €40m|first=Emer|last=Walsh|work=[[Irish Examiner]]|date=5 May 2023|access-date=12 December 2024|url-access=limited}}</ref><ref>{{cite news|url=https://www.rte.ie/news/business/2023/0925/1407238-cost-of-closing-gamestop-operations-estimated-at-13m/|title=Cost of closing Irish GameStop operations expected to be €13m|first=Gordon|last=Deegan|work=[[RTÉ]]|date=25 September 2023|access-date=12 December 2024}}</ref><ref>{{cite news|url=https://www.independent.ie/business/irish/gamestops-irish-losses-ballooned-to-455m-before-it-closed-stores-here/a810551498.html|title=Gamestop’s Irish losses ballooned to €45.5m before it closed stores here|first=John|last=Mulligan|work=[[Irish Independent]]|date=25 September 2023|access-date=12 December 2024|url-access=limited}}</ref> Its warehouse and European headquarters in Swords, Dublin was later sold for €5 million.<ref>{{cite news|url=https://www.irishtimes.com/property/commercial-property/2024/10/02/it-company-pays-over-5m-for-gamestop-irelands-former-hq/|title=IT company pays over €5m for Gamestop Ireland’s former HQ|first=Ronald|last=Quinlan|work=[[The Irish Times]]|date=2 October 2024|access-date=12 December 2024|url-access=limited}}</ref> By the end of 2023, Gamestop had only 647 stores left in Europe, operating in France, Germany and Italy.

In November 2024, GameStop decided to cease operations in Germany, closing its remaining 69 stores by January 2025, as well as its warehouse and headquarters in Tannheim.<ref>{{cite news|url=https://www.gamingdeputy.com/gamestop-closes-all-branches-in-germany-500-employees-affected/|title=GameStop closes all branches in Germany – 500 employees affected|first=Kryzt|last=Bates|work=gamingdeputy.com|date=29 November 2024|access-date=12 December 2024}}</ref><ref>{{cite news|url=https://gamerant.com/gamestop-leaving-shutting-down-closing-germany/|title=GameStop is Leaving 1 Major Country|first=Sarah|last=fields|work=[[Valnet|Game Rant]]|date=30 November 2024|access-date=12 December 2024}}</ref><ref>{{cite news|url=https://www.gameswirtschaft.de/wirtschaft/gamestop-gutscheine-garantie-vorbestellungen-121224/|title=GameStop-Aus: Die Folgen für Gutscheine, Garantie, Vorbestellungen|author=<!--not stated-->|work=GamesWirtschaft|date=16 December 2024|access-date=12 December 2024|language=German}}</ref>

Also in November 2024, GameStop sold GameStop Italy to Cidiverte, a small Italian competitor which operates ten stores under the Gamelife brand. Within six months of the sale, over 250 GameStop stores in Italy will be rebranded as Gamelife stores.<ref>{{cite web|url=https://www.igizmo.it/esclusivo-gamestop-italy-cidiverte-acquisisce-i-punti-vendita/|title=Esclusivo GameStop Italy: Cidiverte acquisisce i punti vendita|first=Riccardo|last=Colletti|work=igizmo.it|date=25 November 2024|access-date=12 December 2024|language=Italian}}</ref><ref>{{cite news|url=https://www.chiccheinformatiche.com/gamestop-italia-non-esistera-piu-la-situazione-e-perche/|title=GameStop Italia non esisterà più? La situazione e perchè|first=Vito|last=Savino|work=chiccheinformatiche.com|date=28 November 2024|access-date=12 December 2024|language=Italian}}</ref><ref>{{cite news|url=https://www.tecnoandroid.it/2024/11/28/gamestop-lascia-definitivamente-litalia-1483831/|title=GameStop lascia definitivamente l’Italia?|first=Margaret|last=Galletta|work=tecnoandroid.it|date=28 November 2024|access-date=12 December 2024|language=Italian}}</ref> Thus by the summer of 2025, aside from Micromania in France, the GameStop brand will have disappeared from Europe.

In February 2025, GameStop announced that it intended to sell its French operations.<ref name="woke-1">{{cite press release|url=https://news.gamestop.com/news-releases/news-release-details/gamestop-announces-plan-pursue-sale-french-and-canadian|title=GameStop Announces Plan to Pursue a Sale of French and Canadian Operations|publisher=GameStop|date=18 February 2025|access-date=19 February 2025}}</ref> Ryan Cohen condemned the "wokeness" of France, posting on [[Twitter|X]] that the sale would "include [[woke]]ness and [[Diversity, equity, and inclusion|DEI]] at no additional cost".<ref name="woke-2">{{Cite news |last=Timotija |first=Filip |date=2025-02-18 |title=GameStop CEO decries ‘wokeness and DEI’ as company seeks to sell Canadian and French operations |url=https://thehill.com/business/5152167-gamestop-ceo-attacks-wokeness/ |archive-url=http://web.archive.org/web/20250221141406/https://thehill.com/business/5152167-gamestop-ceo-attacks-wokeness/ |archive-date=2025-02-21 |access-date=2025-02-22 |work=The Hill |language=en-US}}</ref><ref name="woke-3">{{cite tweet|user=ryancohen|number=1891884823465103698|title=Email M&A@gamestop.com if you're interested in buying GameStop Canada or Micromania France. High taxes, Liberalism, Socialism, Progressivism, Wokeness and DEI included at no additional cost if you buy today!|date=18 February 2025|access-date=19 February 2025}}</ref>

====January 2021 short squeeze====
{{main|GameStop short squeeze}}

In January 2021, trading activity around a [[short squeeze]] resulted in a 1,500% increase in GameStop's share price over the course of two weeks, reaching an all-time intraday high of over US$500.00. {{As of|2021|1|29|df=US}}, on the [[New York Stock Exchange]].<ref name="yun">{{Cite web |last=Li |first=Yun |date=January 27, 2021 |title=GameStop mania explained: How the Reddit retail trading crowd ran over Wall Street pros |url=https://www.cnbc.com/2021/01/27/gamestop-mania-explained-how-the-reddit-retail-trading-crowd-ran-over-wall-street-pros.html |access-date=January 27, 2021 |website=[[CNBC]] |archive-date=January 27, 2021 |archive-url=https://web.archive.org/web/20210127221220/https://www.cnbc.com/2021/01/27/gamestop-mania-explained-how-the-reddit-retail-trading-crowd-ran-over-wall-street-pros.html |url-status=live }}</ref><ref>{{Cite web |title=GAMESTOP CORPORATION (GME) |url=https://www.nyse.com/quote/XNYS:GME |access-date=January 28, 2021 |website=[[NYSE]] |archive-date=January 19, 2021 |archive-url=https://web.archive.org/web/20210119153914/https://www.nyse.com/quote/XNYS:GME |url-status=live }}</ref> This effect was mainly attributed to short sellers using illegal business practices causing the stock to be shorted over 100 percent of the free float of the company.

There is uncertainty around the size of the effect of short sellers closing their position. The SEC released a report claiming "While a short squeeze did not appear to be the main driver of events, and a gamma squeeze less likely, the episode highlights the role and potential impact of short selling and short covering."<ref>{{Cite web |title=U.S. Securities and Exchange Commission, "Staff Report on Equity and Options Market Structure Conditions in Early 2021," page 24 |url=https://www.sec.gov/files/staff-report-equity-options-market-struction-conditions-early-2021.pdf}}</ref>

==== Other news in 2021 to 2025 ====
In February 2021, GameStop announced that its finance chief Jim Bell, appointed in June 2019, would leave the company on March 26, 2021. Though no official reason was given for Bell's departure, the company said that it did not have to do with a disagreement with the company or its operations.<ref>{{Cite news | title=GameStop CFO resigns a month after the Reddit trading frenzy | url=https://www.cnn.com/2021/02/23/tech/gamestop-cfo-resigns/index.html | first=Clare | last=Duffy | work=[[CNN]] | date=February 23, 2021}}</ref><ref>{{Cite news |title=GameStop's CFO exits as the company attempts a 'transformation' led by activist investor Ryan Cohen | url=https://www.businessinsider.com/gamestop-cfo-jim-bell-suddenly-resigning-2021-2 | last=Gilbert | first=Ben | website=[[Business Insider]] | date=February 23, 2021}}</ref><ref>{{Cite news | title=GameStop CFO Resigns Weeks After Reddit-Fueled Stock-Market Frenzy | last2=Maurer | first1=Nina | last1=Trentmann | first2=Mark | work=[[The Wall Street Journal]] | url=https://www.wsj.com/articles/gamestop-cfo-resigns-weeks-reddit-stock-market-frenzy-11614121870 | url-access=subscription | date=February 24, 2021 | issn=0099-9660}}</ref>

In April 2021, George Sherman announced that he will step down as CEO of GameStop by July 31, 2021.<ref>{{Cite news | url=https://www.wsj.com/articles/gamestop-ceo-george-sherman-to-step-down-by-july-31-11618829152 | title=GameStop CEO George Sherman to Step Down by July 31 | first1=Sarah E. | last1=Needleman | first2=Dave | last2=Sebastian | work=[[The Wall Street Journal]] | date=April 19, 2021}}</ref><ref>{{Cite news | url=https://www.cnn.com/2021/04/19/investing/gamestop-ceo-george-sherman-ryan-cohen/index.html | title=GameStop CEO George Sherman is stepping down, sending the stock soaring | first=Paul R. | last=La Monica | work=[[CNN]] | date=April 19, 2021}}</ref><ref>{{Cite news | url=https://www.cnbc.com/2021/04/19/gamestop-ceo-george-sherman-to-step-down.html | title=GameStop CEO George Sherman to step down | agency=[[Reuters]] | via=[[CNBC]] | date=April 19, 2021}}</ref><ref>{{Cite news | url=https://www.cnet.com/news/gamestop-ceo-george-sherman-to-step-down-by-end-of-july/ | title=GameStop CEO George Sherman to step down by end of July | first=Carrie | last=Mihalcik | work=[[CNET]] | date=April 19, 2021}}</ref> Also in April 2021, [[Ryan Cohen]], founder of [[Chewy (company)|Chewy]] and a large GameStop shareholder, was named [[chairman]], effective in June 2021.<ref>{{Cite news | url=https://www.cnbc.com/2021/04/08/gamestop-stock-up-after-company-says-ryan-cohen-to-be-chairman.html | title=GameStop says it will name Ryan Cohen chairman | first=Lauren | last=Thomas | work=[[CNBC]] | date=April 8, 2021}}</ref><ref>{{Cite news | url=https://arstechnica.com/gaming/2021/04/why-some-investors-are-excited-about-ryan-cohen-as-gamestops-next-chairman/ | title=Why some investors are excited about Ryan Cohen as GameStop's next chairman | first=KYLE | last=ORLAND | work=[[Ars Technica]] | date=April 8, 2021}}</ref><ref>{{Cite news | url=https://www.marketwatch.com/story/gamestop-stock-rallies-after-plans-to-name-ryan-cohen-as-chairman-2021-04-08 | title=GameStop stock rallies after plans to name Ryan Cohen as chairman | first=Tomi | last=Kilgore | work=[[MarketWatch]] | date=April 8, 2021}}</ref> On June 9, 2021, GameStop appointed former [[Amazon (company)|Amazon]] executives Matt Furlong and Mike Recupero as CEO and CFO respectively.<ref name=":0">{{Cite web|last1=Lewis|first1=Katrina|last2=Owram|first2=Kristine|date=June 10, 2021|title=GameStop Slides on Stock Sale Plan, SEC Trading Investigation|url=https://www.bloomberg.com/news/articles/2021-06-10/gamestop-slides-on-stock-sale-plan-sec-trading-investigation|access-date=2021-06-10|website=Bloomberg}}</ref> Furlong took over the position of CEO from Sherman on June 21, 2021.<ref name=":0" /> Furlong was removed from his position as CEO in June 2023 and replaced by [[Ryan Cohen]].<ref>{{Cite news |last1=A |first1=Samrhitha |last2=Herbst-Bayliss |first2=Svea |date=2023-06-08 |title=GameStop ousts CEO, elevates Cohen as sales fall again |language=en |work=Reuters |url=https://www.reuters.com/technology/gamestop-terminates-matt-furlong-ceo-2023-06-07/ |access-date=2023-06-08}}</ref>

In July 2022, it was announced that Mike Recupero was fired as CFO. He was replaced by Diana Saadeh-Jajeh, who was the company's chief accounting officer.<ref>{{cite news |url=https://www.cnn.com/2022/07/08/investing/gamestop-cfo-fired-job-cuts/index.html |title=GameStop fires its CFO and looks to cut staff |date=July 8, 2022 |work=[[CNN Business]] |last=Isidore |first=Chris}}</ref> Just a year later, GameStop announced that Diana had resigned as CFO.<ref>{{Cite news|url=https://www.gamesindustry.biz/gamestop-cfo-resigns-1|title=GameStop CFO resigns|first=Brendan|last=Sinclair|work=GameStop|date=27 July 2023|access-date=22 December 2024}}</ref>

In September 2023, Cohen took over as CEO of the company, in addition to his chairman role, without collecting a salary.<ref>{{Cite news | date=September 28, 2023 |title=Billionaire Ryan Cohen takes over as CEO at GameStop, adding to chairman role |url=https://apnews.com/article/gamestop-cohen-ceo-meme-703d0652b751544d66e5fbe6cd2d7945 |website=[[AP News]]}}</ref> In March 2024, it was announced that GameStop would cut an unknown number of staff in an effort to achieve profitability. However, the company also noted that these cuts may strain its existing resources.<ref>{{Cite web |last=Kerr |first=Chris |date=March 27, 2024 |title=GameStop commits to layoffs despite concerns over business 'strain' |url=https://www.gamedeveloper.com/business/gamestop-commits-to-layoffs-despite-concerns-over-business-strain- |access-date=2024-04-02 |website=www.gamedeveloper.com |language=en}}</ref>

In July 2021, GameStop announced the rebrand of EB Games Canada to GameStop following customer feedback.<ref>{{Cite web|url=https://investor.gamestop.com/news-releases/news-details/2021/GameStop-to-Rebrand-EB-Games-in-Canada-07-28-2021/default.aspx|title=GameStop to Rebrand EB Games in Canada|date=28 July 2021|access-date=7 May 2025}}</ref><ref>{{Cite web|url=https://retail-insider.com/bulletin/2021/07/eb-games-stores-in-canada-to-rebrand-as-gamestop/|title=EB Games Stores in Canada to Rebrand as GameStop|date=28 July 2021|access-date=7 May 2025}}</ref> In February 2025, GameStop announced that it intended to sell its Canadian operations.<ref name="woke-1"/> Ryan Cohen condemned Canadian "wokeness", posting on [[Twitter|X]] that the sale would "include [[woke]]ness and [[Diversity, equity, and inclusion|DEI]] at no additional cost".<ref name="woke-2"/><ref name="woke-3"/> In May 2025, GameStop Canada was acquired by entrepreneur, Stephan Tetrault, and rebranded back to its previous American brand, EB Games Canada.<ref>{{Cite web|url=https://www.cbc.ca/news/business/gamestop-canada-eb-games-acquisition-1.7527431|title=GameStop Canada to be rebranded EB Games after acquisition by Quebec toymaker|date=6 May 2025|access-date=7 May 2025}}</ref><ref>{{Cite web|url=https://retail-insider.com/retail-insider/2025/05/gamestop-canada-president-on-why-eb-games-is-coming-back/|title=GameStop Canada President on Why EB Games is Coming Back|date=7 May 2025|access-date=7 May 2025}}</ref>

==== NFT platform ====
On May 26, 2021, GameStop announced that it was working on a [[non-fungible token]] (NFT) platform creating a token that is based on [[blockchain]] Ethereum technology.<ref>{{cite web |url=https://hypebeast.com/2021/5/gamestop-nft-announcement-information |title=GameStop Quietly Announces That It's Working on NFTs |website=HypeBeast.com |last=Perper |first=Rosie |date=May 25, 2021 |archive-url=https://web.archive.org/web/20210525230307/https://hypebeast.com/2021/5/gamestop-nft-announcement-information |access-date=July 26, 2021 |archive-date=May 25, 2021 |url-status=live}}</ref> ''Business Insider'' reported that "GameStop is building an NFT platform as part of an ambitious plan to transform itself into the Amazon of gaming."<ref>{{cite web |url=https://markets.businessinsider.com/currencies/news/gamestop-nft-building-ethereum-powered-platform-hiring-team-ecommerce-transformation-2021-5-1030467635 |title=GameStop is building an NFT platform as part of an ambitious plan to transform itself into the Amazon of gaming |last=Nagarajan |first=Shalini |work=Business Insider |date=May 26, 2021 |archive-url=https://web.archive.org/web/20221015142036/https://markets.businessinsider.com/currencies/news/gamestop-nft-building-ethereum-powered-platform-hiring-team-ecommerce-transformation-2021-5-1030467635 |access-date=July 26, 2021 |archive-date=October 15, 2022 |url-status=live }}</ref>

The Beta version of the platform launched on July 11, 2022. The marketplace is curated, with a vetting process in place for artists; in July 2022 GameStop removed an NFT associated with artwork which referenced the photo  ''[[The Falling Man]]'' and removed the ability for the creator's account to mint new NFTs on its platform.<ref>{{cite web |url=https://www.engadget.com/gamestop-falling-man-nft-181910264.html |title=GameStop is letting someone sell an NFT that references a 9/11 photo |last=Bonifacic |first=Igor |work=Engadget |date=July 23, 2022 |archive-url=https://web.archive.org/web/20230407233327/https://www.engadget.com/gamestop-falling-man-nft-181910264.html |access-date=July 23, 2022 |archive-date=April 7, 2023 |url-status=live |via=engadget.com}}</ref> In another case, a user sold hundreds of NFTs associated with HTML5 games they did not have a license for. GameStop removed their minting ability and the listings for the NFTs on their marketplace, although the NFTs themselves remain on the blockchain, the games themselves on Gamestop's servers, and can be sold on other marketplaces.<ref>{{cite web |url=https://arstechnica.com/gaming/2022/08/indie-devs-outraged-by-unlicensed-game-sales-on-gamestops-nft-market/ |title=Indie devs outraged by unlicensed game sales on GameStop's NFT market |last=Orland|first=Kyle|work=Ars Technica|date=August 5, 2022 |archive-url=https://web.archive.org/web/20230210212551/https://arstechnica.com/gaming/2022/08/indie-devs-outraged-by-unlicensed-game-sales-on-gamestops-nft-market/ |access-date=August 5, 2022 |archive-date=February 10, 2023 |url-status=live }}</ref>

In December 2022, GameStop laid off a large portion of the team working on the NFT platform. In August 2023, GameStop announced wind down of its crypto and NFT wallet citing "regulatory uncertainty".<ref>{{Cite web |last=Purdy |first=Kevin |date=2023-08-04 |title=GameStop, citing "regulatory uncertainty," winds down its crypto and NFT wallet |url=https://arstechnica.com/gaming/2023/08/gamestop-citing-regulatory-uncertainty-winds-down-its-crypto-and-nft-wallet/ |access-date=2023-08-06 |website=Ars Technica |language=en-us}}</ref> As of December 2023, Gamestop's NFT marketplace still allowed users the ability to trade in-game items using other NFT wallets (such as MetaMask).<ref name=NFTMarketplace>{{Cite web|title=Gamestop NFT Marketplace|url=https://nft.gamestop.com/|website=Gamestop|language=en}}</ref> However, in January 2024, Gamestop ultimately announced that on February 2, 2024, the NFT marketplace would be shuttered completely.<ref>{{Cite web |last=McEvoy |first=Sophie |date=2024-01-15 |title=GameStop closes crypto marketplace |url=https://www.gamesindustry.biz/gamestop-closes-crypto-marketplace |url-status=live |archive-url=https://web.archive.org/web/20240124021148/https://www.gamesindustry.biz/gamestop-closes-crypto-marketplace |archive-date=2024-01-24 |access-date=2024-01-24 |website=Gamesindustry.biz}}</ref>