- News of GameStop digital revenue sharing with Microsoft shocked most observers, but makes absolute sense for everyone involved.
- Sony likely already has a similar agreement with GameStop.
- Revenue sharing percentage is likely to approach 10% and represents pure pretax profit for GME.
- GameStop increases TAM and LTV for consoles and other products from Sony, Microsoft, and Nintendo.
- GameStop will likely get a higher allocation of consoles and products such as digital subscriptions.
For further details see:
GameStop Likely Already Has Digital Revenue Sharing With Sony At Up To 10%