GameStop Inc. (NASDAQ: GME) stock declined by 0.79% in the current market trading session. GameStop is a video game, consumer electronics, and gaming products store based in the United States. GME is based in Grapevine, Texas, and it is the world’s biggest game store.
Netflix Inc. made its first big gaming hiring on Wednesday, possibly indicating a shift away from its streaming-video roots. However, the shares of GameStop Corp. which is currently a struggling video-game retailer were spooked by the news.
Netflix recruited Mike Verdu as vice president of developing games from Facebook, where he supervised Oculus Studios as well as the teams delivering second-and third-party virtual-reality games and other apps to Oculus virtual-reality headsets as vice president of content for Reality Labs. Prior to joining Facebook, Verdu served as Electronic Arts’ executive vice president of mobile, overseeing mobile gaming studios that included “The Sims,” “Plants vs. Zombies,” and “Star Wars: Galaxy of Heroes.”
The appointment was initially reported by Bloomberg News, which also stated that it was a move toward delivering video games on the streaming platform within the next year. Bloomberg cited a single source as saying that the videogames will air alongside current programs and that there are no plans to charge more for games at this time. Netflix did not respond to a request for comment other than to confirm Verdu’s employment on Wednesday.
Netflix has experimented in videogames in the past, mostly as a marketing tool for their intellectual property, as well as providing dynamic features on its famous streaming service. A Netflix representative simply declared in 2018, when questioned about an interactive product and whether it suggested a move into gaming that they don’t have any intentions to enter into gaming.