- CI Games CEO says most publishers will move to abandon discs as early as 2027.
- He argues that physical editions of games earn significantly less for publishers.
- Therefore, most publishers are expected to ditch discs because of the rising costs in the industry.
Sony has announced it will end disc production for its first-party titles starting in 2028, and GTA 6 also launches without a disc in its boxed version. These developments might have accelerated the shift from physical media for many other publishers in the industry.
CI Games CEO Marek Tyminski explains that gaming publishers are aiming to cut corners to save costs as the industry grows more expensive. He expects most publishers to begin abandoning discs in 2027 or even sooner in the coming months.
Why it matters: Compared to digital, physical copies deliver lower revenue per unit, making it a less justifiable option for studios. Therefore, many publishers are willing to abandon discs even amid the massive backlash from gamers.
In a tweet, the Lords of the Fallen studio boss argues that physical copies deliver less revenue to developers in contrast to digital editions.
This is mostly because physical copies drain a lot of resources to produce, ship, and sell, which leaves studios with far less revenue compared to the more convenient digital sales.
At $69.99, retail margin takes 25-35%, distributors another 10-20%, and physical production ~$10. That leaves studios with just over $26 per unit — compared to ~$49 on digital at highest margin.
-CI Games CEO, Marek Tyminski.
While large publishers manage to absorb the lack of profit from physical copies, they still make more from digital sales. The disparity only gets worse if the game is priced lower than $70, so the choice becomes obvious for publishers from a pure ROI standpoint.
The option to sell physical copies is becoming harder to justify even for CI Games when physical units only account for less than 20% of overall game sales. Regardless, the CI Games CEO assures that Lords of the Fallen 2 will still launch on disc.
Do you think most publishers will follow in the footsteps of PlayStation and Rockstar Games and end physical media production next year? Let us know your thoughts in the comments below, or join the discussion on the Tech4Gamers forum.
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Shameer Sarfaraz has previously worked for eXputer as a Senior News Writer for several years. Now with Tech4Gamers, he loves to devoutly keep up with the latest gaming and entertainment industries. He has a Bachelor’s Degree in Computer Science and years of experience reporting on games. Besides his passion for breaking news stories, Shahmeer loves spending his leisure time farming away in Stardew Valley. VGC, IGN, GameSpot, Game Rant, TheGamer, GamingBolt, The Verge, NME, Metro, Dot Esports, GameByte, Kotaku Australia, PC Gamer, and more have cited his articles.
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