GameStop will close more than 400 stores in the U.S. in early 2026
By ForGeeks
GameStop is kicking off 2026 with a major retail downsizing: the company plans to close more than 400 stores in 42 U.S. states as part of further business optimization and cost reduction.
According to data released in January, GameStop has already closed or is preparing to close 435 retail locations during the current month. As of February 2025, the company operated 2,325 stores in the U.S., so the current wave of closures represents a marked reduction in its physical footprint in the domestic market.
According to data released in January, GameStop has already closed or is preparing to close 435 stores in the current month.
GameStop has previously already significantly reduced the number of stores. The company closed 590 locations in fiscal 2024 and warned investors in advance in a report to the U.S. Securities and Exchange Commission that it plans to “close a significant number of additional stores” in fiscal 2025. GameStop’s fiscal year ends Jan. 31, and the current actions fall within that stated course.
The retail cuts come amid a strategy to increase the company’s capitalization. GameStop CEO Ryan Cohen could receive stock options worth up to $35 billion when he reaches a market capitalization of $100 billion. One way to get closer to that goal is to make tough cost cuts, including abandoning unprofitable outlets.
The cuts come amid a strategy to increase the company’s market capitalization.
In parallel, GameStop is essentially winding down its international business. The company has already exited the markets of Canada, Germany, Austria, Ireland, Switzerland and Italy, and plans to exit France within the next 12 months. Thus, the focus is increasingly shifting to an optimized operating model with fewer assets.
At the same time, GameStop is nearly phasing out its international business.
Although GameStop has been able to stabilize its financial position in recent years after a long period of instability, the new wave of closures means job losses for thousands of employees. The company has not provided an official comment on the current layoffs.
