"A hammer blow for games retail" - Experts weigh in on PlayStation's discless future, and the impact it will have on traditional game stores

Sony's announcement that it will cease large-scale production of physical discs for new games by January 2028 has been described by industry experts as a significant blow to traditional game retailers. Chris Dring of The Game Business noted that while physical sales are a smaller part of the business, they still represent millions of sales worldwide, making the news surprising. He suggested that Sony might work with retailers on a "code-in-a-box" solution, similar to what Rockstar is doing with GTA 6, which could allow stores to participate in digital sales. Rhys Elliot from Alinea Analytics called the news a "hammer blow for games retail," particularly for the pre-owned games market, which he described as "one of the rusty engines keeping specialist retailers alive." He noted that margins on new physical games are thin, but used games were where retailers made real money. With GAME already stopping trade-ins and CEX essentially gone, Elliot argued that a code-in-a-box offers none of the benefits of physical media, such as resale value or collectability. Piers Harding-Rolls from Ampere Analytics agreed that the decision undermines the pre-owned market but noted it is an ever-shrinking part of the market. He suggested this could push retailers to innovate around digital games sales in-store to replace lost business.