For gamers who grew up hunting down the latest releases at their local GameStop, there’s more bad news on the horizon.
The iconic video game retailer is preparing to close around 470 stores this January alone, leaving it with fewer than 2,000 locations nationwide — a dramatic drop from the 6,000+ stores it once operated.
California will bear the brunt of the cuts, losing about 50 stores, followed by Texas with 44, New York with 30, Florida with 25, and Pennsylvania with 24.
Overall, 40 states are expected to see at least one GameStop location disappear.
From Mall Staple to Shrinking Footprint
GameStop’s story began in 1984 as Babbage’s, a small software retailer in Texas.
It grew into America’s largest specialty video game chain, dominating malls and strip centers during the console boom of the 1990s and 2000s.
Fans would line up for midnight launches of blockbuster titles like Call of Duty and Grand Theft Auto.
But the rise of digital downloads and online marketplaces steadily ate into foot traffic.
By the late 2010s, GameStop was widely seen as a struggling relic of the brick-and-mortar era, often cited as a poster child for the so-called retail apocalypse.
The Wild 2021 Stock Saga
Then came 2021, when the company’s stock suddenly stole the headlines.
Hedge funds had bet millions that GameStop would fail, but instead, a group of Reddit traders from WallStreetBets ignited a historic short squeeze.
Shares shot from under $20 to hundreds of dollars in days.
This frenzy gave GameStop a cash injection and a tidal wave of publicity, which it hoped to use for a big reinvention.
Attempting a Comeback
In 2023, GameStop brought in Ryan Cohen, co-founder of Chewy, as chairman.
The company cut underperforming stores, revamped its management team, and promised a pivot toward e-commerce and tech-focused retail.
GameStop has dabbled in PC gaming gear, collectibles, and even cryptocurrency, but steady profits have remained elusive.
Today, the retailer exists as a mix of a traditional store chain and a meme-stock icon, with shares still swaying based on online chatter while stores continue to serve a loyal, if shrinking, fanbase.
A Broader Retail Struggle
GameStop’s troubles are part of a bigger picture: brick-and-mortar retail in the US is facing severe strain.
Data shared with the Daily Mail shows that 8,234 stores closed in 2025, a 12% increase from the 7,325 closures in 2024, according to Coresight Research.
Major chains like Macy’s are also downsizing, announcing 14 additional store closures across 12 states this year as part of a plan to shutter 150 unprofitable locations by year-end.
What Lies Ahead
For GameStop, the next chapter is uncertain.
Will it finally stabilize as a hybrid of e-commerce and physical stores, or will more closures mark the beginning of the end for a once-beloved gaming hub?
Only time will tell as the retail apocalypse continues to reshape shopping in America.
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