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GameStop appoints chief technology officer and two additional executive hires

news.gamestop.com

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Re: GameStop appoints chief technology officer and two additional executive hires

#51

Post by crispyambulance »

pratik661 wrote: post #5

I was wondering if GameStop would use their once in a lifetime overpriced valuation to raise money to invest in a game streaming platform (ie Netflix for games).

GameStop had YEARS to adapt themselves to the new gaming situation, but they instead chose to go the way of the strip-mall and follow the example of BlockBuster Video.

When did Steam get started? The middle-naughts? That was the time for GameStop to act. It's too late now. Even if they have the money, do they have the leadership to pull this off? Maybe they'll try, but it will be an uphill fight, even with the Chewy founder on the board.

I expect the execs will find some way to parachute out and that there will be no transformation of GameStop.

Re: GameStop appoints chief technology officer and two additional executive hires

#52

Post by thekingofh »

kerng wrote: post #33
criddell wrote: post #26

What is GameStop going to be five years from now when digital distribution is the only way video games are sold? I can't imagine selling game-related tchotchkes is a very good business. What else is there?

Become a game studio, with live events and community

This is the only play I can see working in the long term. Become their own content creator, aka game studio and publisher.

Re: GameStop appoints chief technology officer and two additional executive hires

#53

Post by enragedcacti »

RivieraKid wrote: post #48
theorymeltfool wrote: post #23

I'm curious if the HFs that shorted Gamestop, are also profiting off of the wild swings by Redditors who have now lost hundreds of thousands of dollars. They could easily swing-trade this stock all the way down, using massive buy/sell orders to drive the price. If Melvin Capital isn't bankrupt after all of this, there might just be A LOT of broke redditors who cashed in their lifesavings on this gamble.

> They could easily swing-trade this stock all the way down, using massive buy/sell orders to drive the price. I call BS. Selling a huge amount of shares and then buying them again will not generate a profit.

https://marketrealist.com/p/short-ladder-attacks-explained/

When you have millions reading a forum saying "BUY THE DIP" and you can create a dip, then you probably stand to make a lot of money.

Re: GameStop appoints chief technology officer and two additional executive hires

#54

Post by Wheaties466 »

tachyonbeam wrote: post #18
dogshoes wrote: post #9

Earlier quoted context omitted.

They do (or did) own Spawn Labs, which was a cloud streaming device for game consoles around 2010-2014. It no longer exists, but they likely still retain IP in this realm.

It seems to me all the streaming gaming services so far have been a flop. In order for it to work, we need really high bandwidth, reliable internet connections and low latency. The technology maybe isn't quite ready still, because we haven't really been focused on the reliability of internet connections and wifi, just more peak download speed. Streaming gaming sounds sexy, but IMO, it's probably bound to keep being a…

I am stadia subscriber and I can say that I have fallen in love with the platform. I used to play games more often and don't own a gaming PC or console, nor did I want to purchase one. Performance has been stellar thus far.

Re: GameStop appoints chief technology officer and two additional executive hires

#55

Post by klmadfejno »

theorymeltfool wrote: post #23

I'm curious if the HFs that shorted Gamestop, are also profiting off of the wild swings by Redditors who have now lost hundreds of thousands of dollars. They could easily swing-trade this stock all the way down, using massive buy/sell orders to drive the price. If Melvin Capital isn't bankrupt after all of this, there might just be A LOT of broke redditors who cashed in their lifesavings on this gamble.

The HFs that shorted Gamestop specifically? I'd guess not. But others? Most certainly yes there are institutional players in this one.

Re: GameStop appoints chief technology officer and two additional executive hires

#56

Post by wegs »

iso1631 wrote: post #29
criddell wrote: post #26

What is GameStop going to be five years from now when digital distribution is the only way video games are sold? I can't imagine selling game-related tchotchkes is a very good business. What else is there?

Rebuilding into a place for gamers to congregate in person rather than shout at anonymous trolls on the internet? They've got the space, and after 18 months of limited social contact it could be an opportunity

Like Radio Shack seamlessly turned into makerspaces, as the maker movement came out, where people could 3d print, design things together, and whatnot?

Turning businesses around is HARD.

I hope they do something, but I'm not optimistic.

Re: GameStop appoints chief technology officer and two additional executive hires

#57

Post by hervature »

crazygringo wrote: post #40
LargeWu wrote: post #11

Earlier quoted context omitted.

Unless they are issuing new stock, or selling stock that they hold, I don't really see how its valuation helps the company. Likely it's very good for their execs, though...

Yes it would absolutely be issuing new stock. However I'm actually not sure how quickly companies can do that. It has to be done by the board. Can they just hold an emergency meeting and authorize it within hours? Or is it the kind of thing that requires certain approvals which require weeks or months? It could also be a huge PR backfire. If the stock then drops back down, then they could be accused of taking advanta…

You should read Matt Levine, he covers all these questions in depth. The answer to your question is that the board can hold the meeting on Twitter and pass the issuance of new shares that way if they wish.

The problem is shareholders suing for securities fraud. That the people who bought at the top are now shareholders. The company has a fiduciary duty to them. If they issue new shares and sell them, that lowers the price. Even if everyone agrees that the price doesn't make sense and issuing new shares is actually good for the company (the price will drop less), the company actively did something the shareholders probably weren't giving fair warning about.

Re: GameStop appoints chief technology officer and two additional executive hires

#58

Post by manishsharan »

criddell wrote: post #26

What is GameStop going to be five years from now when digital distribution is the only way video games are sold? I can't imagine selling game-related tchotchkes is a very good business. What else is there?

I saw long lines around the block for BestBuy when Animal Crossing was released on Switch during Covid lockdown. I still dont know why people lined up instead of downloading but they did and do and maybe they will keep on doing that.

I guess it does make sense if you intend to buy games as gifts for other people.

Re: GameStop appoints chief technology officer and two additional executive hires

#59

Post by sjg007 »

theorymeltfool wrote: post #23

I'm curious if the HFs that shorted Gamestop, are also profiting off of the wild swings by Redditors who have now lost hundreds of thousands of dollars. They could easily swing-trade this stock all the way down, using massive buy/sell orders to drive the price. If Melvin Capital isn't bankrupt after all of this, there might just be A LOT of broke redditors who cashed in their lifesavings on this gamble.

High volatility is good for the professional traders so yes.

Re: GameStop appoints chief technology officer and two additional executive hires

#60

Post by res0nat0r »

iso1631 wrote: post #29
criddell wrote: post #26

What is GameStop going to be five years from now when digital distribution is the only way video games are sold? I can't imagine selling game-related tchotchkes is a very good business. What else is there?

Rebuilding into a place for gamers to congregate in person rather than shout at anonymous trolls on the internet? They've got the space, and after 18 months of limited social contact it could be an opportunity

Gamestop locations are tiny. They'd need to quadruple all of their store sqft at minimum to do any type of LAN party setup. In addition to all the money required to wire that up and the PC hardware required.
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