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GameStop Corp. Message Board

  • lionelman17 lionelman17 Oct 9, 2009 9:37 PM Flag

    Digital Distribution

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    • "With 250 GB I can finally fit a few HD movies on my Hard Drive."

      The average Blu-Ray movie is probably quite a bit larger than the average PS3 game in size. So if sales of those are taking off...

    • With 250 GB I can finally fit a few HD movies on my Hard Drive.

    • 250GB PS3 for $350, November. What could you do with all that space? Well with a tie ratio of around 7-8, the average user could easily fit all their full-priced games on it, and a load of DLC and PSN games, and still have plenty of space left over.

      http://kotaku.com/5382404/250gb-playstation-3-priced-and-dated-for-north-america

    • I think it would be a mistake to hold GME indefinitely because the risks are there. But that's not to say there isn't plenty of gas left in the tank at the current price with the retail gaming industry looking very strong over at least next 6 - 8 months.

      Beyond that I think it's too early to call right now. If consumption is bouncing back as we start hitting that sweet spot for software sales in this cycle GME could continue to move higher for some time.

    • My current mind set is wrapped around recalling a few years ago when a hand calculator cost $49.99 and is now a giveaway, a $100.00 personal GPS was a fantasy, a laptop for a few hundred bucks etc. etc.

      Technology has a way of rapidly (beyond expectations) advancing and creating dinosaurs in its wake.

      Which leave me with ???. Do I start to unload on surges or do I hang on with the potential of getting wiped out.

    • So again it sounds like we're only debating when GME is doomed, not if. And when it's doomed, the PPS will be a lot lower than it is now. All of which makes it a short term trading vehicle, long and short sides, and not a long term investment.

    • <And how will that conversation go? "Hey, we demand a higher margin from you or we will drive our own stock prices and business into the ground! So there!">

      The conversations are already happening. However, they are being driven by Wal-Mart, Target and BBY. Why do you think the costs of the PSP Go is $250 and not $150? It's because the retailer takes a much bigger piece now that they cannot sell the software to compensate them for the low margin they currently generate.

      <Gran Turismo PSP is available>

      Perfect example. 1) GT PSP is a small file. 2) Retail sales estimates are far exceeding the DL numbers. 3) People want the option to dump the game when they sick of it. 4) PSP Go sales suck because the price is too high, which does not help to encourage Digital DL.

      Like I continue to say....the retail partnership is much stronger with video games than movies. All these analysts who predict a rapid demise of GME because of the digital issue do not understand the intricacies involving the hardware guys and their dependence on brick and mortar. As long as the industry grows, GME should continue to generate positive growth within this current console generation. However, I do believe that GME will eventually need to change their business model if they want to compete in the future (5 -7 years away from launching a new hardware cycle).

    • Also, $30? BBY offers it for 29.99 new and GME has it at 24.99 used. As I pointed out previously, I know they can correct pricing in about a second, but until they do, this simply won't work IMO.

    • Jester you pointed out the 7GB size in your post. That leads me to believe you were referring to the actual size of the download. You make excellent points, even when I disagree with them. Don't start spinning like an analyst now.

    • It's one of the largest ever in terms of breadth, depth, value for money, and sales. These are traits generally associated with console GTA releases, which you expect to be fairly epic.

    • View More Messages
 
GME
44.09+1.24(+2.89%)Jul 22 4:03 PMEDT

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