Winners and Losers From E3 Video Game Show
The Unexpected Winner
GameStop (GME) has been under heavy pressure for the past month as fears of restrictions on used games in the new consoles have hovered over the industry. With Microsoft and Sony having clarified their position, some of that pressure is off.
The other looming fear was the increased attention by the console makers on digital distribution. As Bhatia points out, though, some games could take as long as 24 hours to fully download, given their size and varying Internet speeds.
"While the switch to digital is inevitable, it seems that conditions are not quite ripe for that yet, and discs will likely dominate in the foreseeable future," he said. "This should benefit GME, at least in the early part of the next cycle."
—By Chris Morris, Special to CNBC.com