Should Game Retailers be Worried About Xbox Gamepass?

With Microsoft now launching their 1st party games on Gamepass, on day 1 of their release. Many for celebrating Microsoft's move as pushing the industry forward, into the digital age. But, not all are excited over Microsoft's move into a Netflix like service. Many independent retailers, have been vocally criticizing Microsoft over this service, even to the extent of threatening to pull their Xbox merchandise off the shelves. How can bigger retailers like, Gamestop, fair in this "digital revolution". How do they fight back, or is it too late?