Take-Two Chairman Talks Digital Distribution, MLB License

December 2, 2010 -

Take-Two chairman Strauss Zelnick does not see a future where digital distribution surpasses big box retail. Speaking to Reuters the chairman and soon-to-be-CEO of the company said that the biggest opportunities for his company would continue to be at traditional retail. He also argued that the transition to digital distribution based on share would be gradual - growing from the current 10 percent share of the market to 25 - 30 "over time."

"I still think in five years the packaged goods business will dominate. It's kind of irrelevant to us, Zelnick told Reuters. "..basically the same gross margin, basically the same risk."

"We don't have any structural impediment to being profitable in a given year," he said.

He also told Reuters that his company is no longer so dependant on the Grand Theft Auto series as its only source of income.

Finally, Zelnick suggested that his company's licensing deal with Major League Baseball might be put on hold because he sees it as a "losing proposition."

"It's a losing proposition and we don't have any interest in pursuing losing propositions."

Source: Reuters


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