PM Studios has been a veteran in the realm of physical game publishing for decades. Roughly twenty years ago, the Las Vegas‑based company introduced the Korean rhythm‑action franchise DJMax to the American market, and since that initial breakthrough it has built a robust operation that turns a diverse array of titles into tangible discs and cartridges. "We back up roughly a hundred or more games on the physical side each year," CEO Michael Yum told GamesIndustry.biz.
He explained that the firm handles the physical distribution for many other publishers, noting that a single partner can generate ten separate releases annually. This steady flow of products has become the lifeblood of PM Studios’ business model. Over the years, the studio has acted as a bridge for developers seeking entry into new territories. "I had a lot of friends in Korea who couldn't get their games out," Yum recalled.
"So I started bringing games from Korea and China over to America and Europe." Among the many titles that crossed the Pacific, one stood out for its extraordinary impact: Black Myth: Wukong. Yum admits that the decision to publish Black Myth physically was "one of our biggest risks," yet the result far exceeded his expectations. "I didn’t realize it would become that massive. When it blew up, it was a completely new experience for me – I’ve never seen anything like it," he said.
The title’s success was so overwhelming that it "covered everything else" in the company’s portfolio, providing a financial windfall that dwarfed the performance of other releases. Ironically, just as PM Studios rode that wave of triumph, Sony announced that it will cease production of PlayStation discs in January 2028, effectively pulling the rug out from under the physical‑disc ecosystem.
"It’s sad and devastating," Yum lamented. "My first games were on PlayStation, and I’m a lifelong PlayStation player, so I’ve always bought and played physical copies. But the reality is that a new generation of gamers is gravitating toward digital," he noted, adding that his own children, raised in a digital‑first environment, often get confused about inserting a disc.
Despite the looming end of PlayStation disc manufacturing, PM Studios intends to keep championing physical releases as far as possible. "We’re looking for new ways to bring games out.
It may end up being a code in a box, but we want to stress the collectibility of the IP and fan service. We’ll probably produce premium bundles, high‑quality packaging, and other unique approaches to keep the tactile experience alive," Yum explained. While digital sales dominate the global market, Yum points out that there remains a strong demand for physical copies among younger audiences. PM Studios handled the physical distribution of the children’s title Bluey’s Quest For The Gold Pen, and about 80 % of its revenue came from disc sales.
He also observes that major IPs continue to perform well in brick‑and‑mortar stores, and that indie games with proven digital success can still thrive in physical form. "I did the mass‑retail version of Lost in Cult and it sold extremely well," he said, referencing the earlier limited‑run physical edition of Animal Well that had already proven popular among collectors. There is also an economic advantage to a disc that can be shared among multiple players.
"I have twins, so I don’t want to buy two digital copies. I buy one disc, they learn to share it and let friends borrow it," Yum said, highlighting the cost‑saving aspect of a physical product.
Beyond practicality, the backlash against the discontinuation of discs stems from a sense of loss. "People are upset because you’re taking away a choice," he observed. Even if most sales are now digital, many gamers still value the option to own a physical artifact.
With the PlayStation disc era winding down, PM Studios is adapting its strategy. "That’s why you see us handling a lot more digital titles now," Yum said.
Nevertheless, the company remains committed to physical releases, backing upcoming disc versions such as AdHoc Studio’s hit Dispatch, while also taking on full‑service publishing duties for games like My Time at Evershine. The studio is also collaborating with Telltale on the long‑delayed sequel The Wolf Among Us 2. "I met the CEO, learned about the challenges they faced, and offered what I could do to help," Yum recounted.
Funding, marketing, and production support were part of the package he proposed, reflecting PM Studios’ ambition to "take bigger risks on bigger IPs." PM Studios isn’t alone in navigating the shift away from physical media. Singapore‑based GCL Global Holdings, originally built around disc distribution, is now betting on AA publishing through its 4Divinity label, a move that garnered attention at Gamescom. The success of Black Myth has convinced Yum that AA games hold considerable promise.
He notes that the sheer volume of titles in digital storefronts makes it difficult for any single game to stand out, but AA titles often capture attention thanks to higher production values and striking visuals. "People are a little more excited for AA games because of the graphics quality," he said. Nonetheless, Yum stresses that he will not abandon indie developers. PM Studios continues to champion indie projects, assisting them in completing their games and preparing them for release on upcoming platforms like Switch 2.
"We were among the first to launch Switch 2 titles on cartridge," he added, hoping that revenue from blockbuster AA titles can be reinvested into promising indie experiments. Recognizing the higher upfront costs associated with AA development, PM Studios seeks to mitigate risk by selecting projects that have recognizable IPs, sequel potential, credible development teams, or strong pre‑order wishlists.
"Anything we can do to reduce that risk is part of our strategy," Yum explained. Yum has been especially impressed by the rapid progress of Chinese AA developers. "I’ve been working a lot with Chinese studios, and it’s incredible.
They are fast, hungry, and extremely talented. They can produce amazing games at a speed and price that outpaces the rest of the world," he said. He warned that if Western developers do not keep pace, Chinese giants such as Tencent and NetEase could dominate the industry. Even so, PM Studios’ pipeline remains heavily weighted toward Western creators, and the company continues to invest in physical‑game communities.
It recently launched the Panax platform, a hub for collectors of physical games and merchandise. "We’ve been developing it for years, and it recently went viral because of a trophy‑tracking feature we posted.
I can’t wait for everyone to see the new tools and benefits publishers will get from being on the platform," Yum enthused. Physical games may be on the decline, but for firms like PM Studios the fight is far from over. They are determined to keep the tangible side of gaming alive, whether through premium collector’s editions, innovative packaging, or community‑focused services, until the very last disc is pressed.