GameStop Closing Locations in the United States

GameStop's Silent Store Closures Spark Concern

GameStop is quietly shuttering numerous US stores, leaving customers and employees reeling. The closures, often announced with little or no warning, represent a significant decline for the once-dominant video game retailer. While GameStop hasn't publicly acknowledged a widespread closure initiative, social media platforms are buzzing with reports from affected customers and employees since the beginning of the year.

GameStop, originally known as Babbage's, boasts a 44-year history. From its humble beginnings in a Dallas suburb in 1980, it expanded to over 6,000 locations globally by 2015, generating approximately $9 billion in annual sales. However, the shift to digital game sales over the past nine years has significantly impacted its profitability. By February 2024, ScrapeHero data indicated a nearly one-third reduction in GameStop's physical footprint, with roughly 3,000 stores remaining in the US.

Following a December 2024 SEC filing hinting at further closures, both customers and employees have taken to Twitter and Reddit to share news of store shutdowns. One Twitter user expressed disappointment over the closure of a seemingly successful local store, fearing this foreshadows closures of less profitable locations. Employee accounts also reveal concerns, with one Canadian employee citing "ridiculous goals" imposed by upper management as stores are evaluated for viability.

The Ongoing Decline of GameStop

The recent closures reflect a broader trend of decline. A March 2024 Reuters report painted a grim picture, highlighting a 287-store closure in the previous year following a nearly 20% (approximately $432 million) revenue drop in the fourth quarter of 2023 compared to 2022.

Numerous rescue attempts have been made over the years. As its customer base migrated online, GameStop experimented with diverse strategies, including expanding into merchandise, phone trade-ins, and trading card grading. A significant boost arrived in 2021 thanks to a surge of support from amateur investors on Reddit, a phenomenon documented in the Netflix documentary Eat the Rich: The GameStop Saga and the film Dumb Money. Despite these efforts, the ongoing store closures signal a persistent struggle for survival.