GameStop CEO Labels Physical Sales Totally Irrelevant, Eyes Huge Ebay Bid

Amid all of the hoopla surrounding Sony's controversial decision to end physical media for PlayStation games starting in 2028, one person who is not outwardly fazed in the slightest is Ryan Cohen, the chief executive officer of GameStop. That may seem surprising (shocking, even) at first glance, but according to Cohen, Sony's decision does not matter in the grand scheme of things.

In an interview with Bloomberg, Cohen shrugged off concerns about the potential impact of Sony's decision on GameStop's bottom line, saying the end of physical games released on PlayStation consoles has very little bearing on the company's current business model.

How can that be, given that GameStop built a thriving business on both new and used game sales? According to Cohen, the retailer's main business is no longer rooted in physical games, which now account for a small fraction of GameStop's revenue. Instead, the retailer makes most of its money by hawking collectibles and other merchandise, such as Pokémon trading cards and figurines, and board games.

"It doesn't matter. It doesn’t matter at all," Cohen said. "Software... it mattered in the past. Software today makes up less than 12% of the business, and collectibles makes up over half the business. So it’s totally, totally irrelevant."

Cohen also says that after being on the brink of bankruptcy and being counted out, GameStop is now "making more money than it's ever made in its history." More than just lip service, his claim is backed by GameStop's most recent earnings, in which the retailer posted record quarterly net income of $389.6 million in Q1 2026, a huge leap from the $44.8 million figure from one year prior.

The successful pivot from games to collectibles is a big reason why Cohen is targeting eBay with an unsolicited buyout offer. Back in May, GameStop offered to acquire eBay at $125 per share in cash and stock, which represents a 46% premium over eBay's closing price on February 4, 2026.

"eBay is a platform that I can build into something much more profitable and much larger," Cohen states. "The ability to take GameStop stores and our experience in gaming and refurbished tech and collectibles combined with eBay and be a leader in live commerce build out an in-game digital marketplace use the stores for same-day authentication and ultimately pull out significant cost and none of these things come at the expense of growth."

Cohen had a lot to say about eBay in the full interview, to the point where he dismissed a question about the hype surrounding Grand Theft Auto VI to discuss the auction site. Ebay ultimately rejected the bid, but according to Cohen, GameStop is coming for the auction "one way or another."