PM Studios has been a fixture in the world of physical game publishing for decades. Roughly twenty years ago, the Las Vegas‑based company introduced the Korean rhythm‑action franchise DJMax to North America, and since that early venture it has built a robust business model around pressing a wide variety of titles onto discs, cartridges and other tangible media. "We probably back up a hundred or more games on the physical side each year," CEO Michael Yum told GamesIndustry.biz.
He added that PM Studios often handles the physical side for numerous other publishers, noting that a single partner can generate ten or more releases annually. Over the years, the studio has acted as a bridge for developers seeking to reach new territories.
"I had a lot of friends in Korea who couldn’t get their games out," Yum explained. "So I started bringing titles from Korea and China over to the US and Europe." One of those imports turned out to be a game that would exceed all expectations – Black Myth: Wukong. Yum admits that Black Myth was "one of our biggest risks" when PM Studios agreed to manage its physical distribution, yet the title’s success blew past anything he could have imagined. "I didn’t realize it would become that huge.
When it exploded, it was an incredible experience – I’ve never seen anything like it. It was so massive it practically paid for everything else we were doing," he said. Ironically, just as PM Studios is riding a wave of physical‑media triumphs, Sony has announced that it will cease PlayStation disc production in January 2028, effectively pulling the rug out from under the business.
"It’s sad and devastating," Yum lamented. "My first games were on PlayStation, and I’m a lifelong PlayStation player, so I grew up with physical discs. Yet the new generation is moving toward digital. My own kids, who are true digital natives, get confused when I ask them to pop a disc into the console." Despite the looming end of PlayStation discs, PM Studios intends to keep supporting physical releases as best it can.
"We’re exploring new ways to get games out there. Eventually it may just be a code in a box, but we want to emphasize collectibility and fan service.
We’ll likely produce premium bundles, special editions and other creative packaging to keep the tactile experience alive," he said. Even though digital sales now dominate the global market, Yum points out that there remains a strong demand for physical copies among younger audiences. PM Studios handled the children’s title Bluey’s Quest for the Gold Pen, and about 80 % of its revenue came from physical sales. He also notes that major IPs continue to perform well in brick‑and‑mortar stores, and that there is a healthy niche for physical editions of indie games that have already proven themselves digitally.
"Animal Well had a limited run through Limited Run, and then we did a mass‑retail version of Lost in Cult that sold extremely well. Fans and collectors keep coming back for the physical product," Yum explained. Physical media also offers an economic advantage: a single disc can be shared among multiple players, unlike a digital license tied to one account.
"I have twins, so I don’t want to buy two digital copies. I buy one disc, they share it, and they can even lend it to friends," he said. Beyond practicality, Yum believes the backlash against the end of discs stems from an emotional sense of loss. "People are upset because you’re taking away a choice," he observed.
"Even if most sales are digital, many gamers still value the option to own something tangible." With the PlayStation disc window closing, PM Studios is adapting its strategy. "That’s why you’ll see us handling more digital titles now," Yum said. The company remains committed to physical releases – it is backing a forthcoming disc version of AdHoc Studio’s hit Dispatch – while also taking on full publishing duties for games such as My Time at Evershine.
PM Studios is also collaborating with Telltale on the long‑awaited sequel The Wolf Among Us 2. "I met the CEO, learned about the challenges they faced, and offered what we could do to help," Yum recounted. He highlighted funding as the biggest hurdle, adding that PM Studios can provide investment, marketing support and production expertise to bring the game to market on schedule.
The publisher’s ambition is to "take bigger risks on bigger IPs" moving forward. While PM Studios isn’t alone in adjusting to a disc‑free future, other firms are also pivoting.
Singapore‑based GCL Global Holdings, historically a physical‑distribution powerhouse, is now betting on AA publishing through its 4Divinity arm, which recently made a splash at Gamescom. Yum says the success of Black Myth has reinforced his belief in the potential of AA titles.
He notes that the sheer volume of games in digital storefronts makes it difficult for smaller projects to stand out, but that AA games often attract more attention because of their higher production values and striking graphics. "I want every game to succeed, especially indies, but when you release a video, people gravitate toward the flashier, higher‑budget titles.
That extra polish helps them get noticed," he explained. Nevertheless, PM Studios will not abandon indie developers. "We’re still a big champion for indies. We’re helping them finish their games and get them onto Switch 2.
In fact, we were among the first to release full‑game cards for the new console," Yum said. He hopes that profits from larger releases can be used to fund and promote new indie projects. Recognizing the higher upfront costs associated with AA games, PM Studios is taking steps to mitigate risk.
"We look for an attached IP, a sequel, a credible developer or strong wishlist numbers. Anything that reduces uncertainty helps us commit resources wisely," he noted. Yum has been especially impressed by the rapid development pace of Chinese AA studios.
"I’ve worked a lot with Chinese developers – they’re incredibly fast, hungry and talented. They can produce amazing games at a speed and cost that outpaces the rest of the world," he said. He warned that if Western studios don’t keep up, Chinese companies could dominate the market.
"Tencent and NetEase already own a huge share of the industry. If we don’t adapt, we risk being left behind," Yum cautioned. Even so, PM Studios’ pipeline remains heavily weighted toward Western creators, and the company continues to champion physical media. It recently launched the Panax community platform, designed to bring together collectors of physical games and merchandise.
"We’ve been building it for years, and it went viral after we posted a trophy‑tracking feature. I’m excited for the new tools and benefits it will give publishers and collectors alike," Yum said. Physical games may be on the decline, but for PM Studios and like‑minded publishers, the fight to keep the disc alive – or at least the collector’s box – is far from over.