GameStop to Close Over 400 US Stores

GameStop is reportedly shuttering more than 400 retail locations across the United States. This move is part of a severe cost-saving strategy aimed at streamlining the retailer's physical footprint. As of January 10, data indicates that 410 locations are confirmed to be closing or are already closed, with an additional 11 reportedly on the way.

The decision comes as no shock to industry observers. A December 2025 filing with the Securities and Exchange Commission (SEC) revealed the company's intent to close a 'significant number' of additional stores. This initiative is designed to cut operational costs as the brand navigates a difficult retail landscape. The scope of the closures extends beyond US borders, with plans to reduce physical presence in Canada and several European countries as well.

While the company shrinks its physical operations, executive compensation remains a focal point. The same SEC filing detailed a lucrative package for CEO Ryan Cohen, contingent on specific market performance metrics. These closures represent the latest chapter in the retailer's ongoing struggle to redefine its brand direction following a volatile period in the market.

The reduction of GameStop's physical footprint is extensive. Recent reports confirm that the retailer is actively closing hundreds of locations in a bid to cut costs. This initiative is being tracked closely by industry observers.

As of January 10, specific data regarding the closures includes:

• 410 locations confirmed to be closing or already closed.
• An additional 11 locations reportedly slated for closure.
• Focus primarily on US-based retail stores.

While the immediate focus is on the United States, the company's strategy includes international consolidation. The retailer plans to reduce its physical presence in Canada and several other European countries. This global restructuring suggests a shift away from traditional brick-and-mortar retail toward a more streamlined operational model.

The decision to close stores was foreshadowed in official regulatory documents. In a December 2025 filing with the SEC, GameStop indicated that it would 'anticipate closing a significant number of additional stores in fiscal 2025.' Fiscal year 2025 concludes on January 31, 2026, suggesting a rapid timeline for these closures.

The filing also shed light on executive compensation plans. The company's board outlined a potential payout for CEO Ryan Cohen that could reach up to $35 billion in stock options. However, this massive compensation is conditional; it is predicated on Cohen successfully increasing the retailer's market capitalization to $100 billion. This incentive structure highlights the high stakes associated with the company's ongoing restructuring efforts.

GameStop has faced significant challenges in defining its brand direction in recent years. Although the company experienced a historic spike in market value in 2021, sustaining that momentum has proven difficult. The retailer has attempted to pivot toward new technologies but has encountered setbacks.

Specific failed initiatives mentioned in the context of these struggles include:

• The launch of a crypto locker service.
• The establishment of an NFT marketplace.

These ventures did not yield the desired results, contributing to the current necessity for drastic cost-cutting measures. The closure of hundreds of stores appears to be a direct response to these financial pressures and the need to stabilize the company's operations.