Sony’s decision to phase out physical PlayStation games by 2028 could significantly impact the second-hand games sector, according to industry analysts.
The company announced this month that it will cease producing physical games starting January 2028, aligning with consumer trends favoring digital distribution. A report cited in CNBC suggests this move could “doom” brick-and-mortar retailers, as over 38% of U.S. video game transactions last year involved pre-owned titles. The global second-hand market, valued at $7.2 billion in 2025, faces uncertainty due to declining physical sales.
We got a nice cover for you
No Disc No Buy pic.twitter.com/JBCTXYSVzQ
— J & L Game (@jnlgame) July 22, 2026
The backlash has been vocal, with figures like Hideo Kojima describing the move as “scary.” A petition opposing Sony’s decision has garnered over 330,000 signatures. Analysts like Michael Pachter argue that used games have historically provided revenue for retailers and players, warning that eliminating physical discs could erase this economic model.
CEX, Europe’s largest second-hand gaming retailer, and U.S. counterparts like GameStop and Amazon are key players in this market. Critics, including F-Squared’s Michael Futter, called Sony’s decision “anti-consumer” and lacking justification.
Meanwhile, Microsoft has announced a revival of its Backwards Compatibility Program, allowing users to play older Xbox games on PCs and handhelds. “New technology shouldn’t mean leaving behind old games,” stated Xbox’s new leader, Asha Sharma.
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