GameStop is closing more stores in California

GameStop is closing more stores in California.

The retailer of video games, toys and collectibles has struggled to find a way to thrive in a market where most of what it sells is easier to get online. The company has for years been shrinking its physical business footprint to cut costs and has reportedly closed dozens of branches in California.

An unofficial blog that tracks store closings estimates that more than 400 GameStop locations, and more than 40 in California, have closed or are expected to close this month.

Calls to 10 GameStop locations across the Southland, including in Inglewood, Canoga Park and Gardena, went unanswered. A recorded message told callers that store associates were “helping other customers” and that they would “call back in a few minutes.” An employee at a San Francisco Bay Area store confirmed the outlet was closing Thursday.

The official Gamestop store directory showed that many California stores were closed all week.

The closures were previously disclosed in the company’s December financial filings, although the exact number was not announced. GameStop did not respond to requests for comment.

The Texas-based video game retailer’s decision to eliminate its locations was the result of a “comprehensive store portfolio optimization review” that examined market conditions and the performance of each store, according to its December filing with the Securities and Exchange Commission.

GameStop closed 590 stores nationwide in fiscal 2024, according to the filing.

“We expect to close a significant number of additional stores during fiscal 2025,” the company said in its December filing. The company’s fiscal year ends on January 31.

GameStop had 2,325 stores in the United States as of February 2025, the company wrote in a March filing.

GameStop has struggled because many customers download video games instead of buying physical copies in brick-and-mortar stores, the company said in the filing.

“The downloading of video game content on current-generation video game systems continues to grow and represents an increasing percentage of new video game sales,” the company wrote. “If consumers’ preference for downloading video game content over physical software continues to increase, our business and financial performance could be adversely affected.”

The company’s struggles to stay relevant somewhat echo those of video chain Blockbuster, which still has a site, and RadioShack, once found in malls across America.

GameStop originated in the 1980s as Babbage’s, a Dallas computer store that later focused on video games. The company, which was the subject of several acquisitions, notably by the bookseller Barnes & Noble, was later renamed GameStop.

In 2021, GameStop became the iconic “meme” stock when investors drove up stock prices during an online craze in hopes that there was a way to save the already struggling brand.

The company has more recently turned to cryptocurrency. Last May, it announced that it had acquired more than 4,700 Bitcoins, the value of which was then estimated at around $513 million by Reuters.

GameStop shares have been volatile over the past 12 months. As of Thursday, shares had fallen about 25% in that time frame.