GameStop Doubles-Down On Digital With Two Buys

Dominant video game retailer GameStop has purchased two companies as it continues to try to establish itself as a place where gamers will go to play and download games online. The company has picked up online game streaming firm Spawn Labs and has separately purchased game download site Impulse from parent Stardock.
GameStop says that once it integrates Spawn Labs, which describes itself as building a “data center cloud gaming service,” it will be able to provide its users with “immediate access to a wide selection of high-definition video games on demand on any Internet-enabled device.” Impulse, it says, “provides a proven digital distribution platform that allows users to quickly and easily find their favorite games and download them to their Internet-connected devices.” The service will now be integrated with
GameStop reported $290 million in sales from its “digital offerings” in 2010. That was up 61 percent year-over-year, but it still pales in comparison to the company’s overall sales, which were $9.47 billion. The company is clearly intent on boosting its digital position; over the last year, it has partnered with News Corp.’s IGN to license content from its network of sites and has also purchased game site Kongregate which is now prominently linked to from the top of the GameStop home page.