Gamestop gets digital revenue from Xbox's sold

[the-pi-guy]

https://www.resetera.com/threads/gamestop-will-get-downstream-revenue-from-digital-downloads-content-on-each-xbox-sold.306212/

Today $GME confirmed with @DOMOCAPITAL that the agreement with $MSFT includes revenue sharing on all downstream revenue (i.e. digital downloads and digital content) from any device that GameStop brings into the @Xbox ecosystem.  GameStop now meaningfully participates in digital.

— DOMO Capital Management, LLC (@DOMOCAPITAL) October 14, 2020

[Legend]

That's a really cool and interesting deal. Great way to make gamestop push the system.

[kitler53]

personally i find this deal to be kind of dirty.   i highly doubt gamestop will disclose to each customer that their recommendation to buy xbox isn't because it is the system the customer really wants but the system gamestop profits most from.

legal i'm sure.  but much of what corporations do is pretty immoral to me even when legal.

[Xevross]

personally i find this deal to be kind of dirty.   i highly doubt gamestop will discuss to each customer that their recommendation to buy xbox isn't because it is the system the customer really wants but the system gamestop profits most from.

legal i'm sure.  but much of what corporations do is pretty immoral to me even when legal.

Yeah this stinks and is weird by xbox anyway, I doubt this will change sales much it just feels like they're throwing money away from their own perspective.

[the-pi-guy]

personally i find this deal to be kind of dirty.   i highly doubt gamestop will discuss to each customer that their recommendation to buy xbox isn't because it is the system the customer really wants but the system gamestop profits most from.

legal i'm sure.  but much of what corporations do is pretty immoral to me even when legal.

Yep.  

I do wonder if Sony will try making similar deals now.

[kitler53]

Yeah this stinks and is weird by xbox anyway, I doubt this will change sales much it just feels like they're throwing money away from their own perspective.

perhaps not.   gamestop pushes xbox massively for 1 year than goes bankrupt anyways and xbox no longer has to play gamestop...

[Xevross]

perhaps not.   gamestop pushes xbox massively for 1 year than goes bankrupt anyways and xbox no longer has to play gamestop...

That's a bold strategy Cotton.

[Legend]

personally i find this deal to be kind of dirty.   i highly doubt gamestop will disclose to each customer that their recommendation to buy xbox isn't because it is the system the customer really wants but the system gamestop profits most from.

legal i'm sure.  but much of what corporations do is pretty immoral to me even when legal.

That's been how gamestop operates for years. Every employee is heavily incentivised to push certain products and they get in trouble if they don't reach quotas.