GAME, one of the major chains of video game stores and outlets in Europe is set to enter administration after a fairly brief (I say fairly brief, it has been in and out of the news since the middle of February) fight with bankruptcy.
As far as I am aware it was first made clear that the chain was in trouble when they closed one of their websites and made it apparent that they would not be stocking Mass Effect 3. This was quickly followed by them announcing that in fact they would not be stocking an awful lot of recent games.
I don’t fully understand the whole business side of the gaming industry but as far as I am aware GAME had to somehow raise £180 million in a week in order to avoid going into “administration” and that was apparently not possible.
Like I said, I don’t get the full details behind the situation (I don’t even know what this “administration” thing is, I assumed companies always had some form of administration going on) but it seems that if a buyer isn’t found for the chain then it and Gamestation will have to close all their remaining branches (having shut quite a few already). There has been talk of even bigger companies like Gamestop and OpCapita bailing out the company and taking over but whether this will play out is yet to be discovered.
In the short term this doesn’t really mean much for you as GAME will contain to sell games and hardware but in the longer term the company is in real danger of going completely bankrupt and having to shut down for good.
Wow… Serious news post is serious… Let’s have some awesome to make up for it!