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Gamestop Will Earn Profits for Purchases Made on Every Xbox They Sell

Thanks to an agreement between both parties, Microsoft will share the profits from digital sales with the store chain.

Something that will distinguish the next generation of consoles is that it will provide a model focused on gamers who prefer video games in digital format.

This could be a negative thing for conventional stores, as they would somehow promote digital titles, thus reducing sales in their establishments.

A few days ago, DOMO Capital reported that GameStop reached an agreement with Microsoft to benefit from sales of digital games made on every Xbox Series X and S sold by the chain store.

Although the firm detailed some measures taken thanks to this partnership, it wasn't clear how the companies would benefit each other. However, more information about the agreement has come to light.

An exclusive strategic alliance between GameStop and Microsoft, for now

According to DOMO Capital, GameStop closed a multi-year agreement with Microsoft. It will receive an undisclosed percentage of all transactions made digitally on the Xbox Series X and S systems sold in its establishments.

The above includes full games, DLC, and subscriptions purchased by users of those consoles. The shared revenue will also include DLCs of physical games purchased in other stores since the users will ultimately make the system's transaction.

Likewise, the firm indicates that Microsoft will also consider pre-owned Xbox Series X and S sold by GameStop.

Many think this model would be challenging to apply since it's hard to know which consoles GameStop has sold. However, this is possible since the company reports all the consoles it sells to Microsoft.

With this, both entities will benefit from the acquisition of consumers and players that enter the Xbox ecosystem.

None of the companies has made it official, and so far, it's unknown if Sony plans a similar type of alliance with this chain of stores.

You can now take a look at the games optimized available for the new consoles at launch.