PM Studios has been a veteran in the realm of physical game publishing for roughly two decades. Back when the company first got its footing in Las Vegas, it introduced the Korean rhythm‑action franchise DJMax to the North American market, and ever since it has built a solid business model around pressing a diverse array of titles onto discs and cartridges. "We typically back up a hundred or more games on the physical side each year," explains CEO Michael Yum to GamesIndustry.biz. "We also handle a lot of the disc work for other publishers.
When you sign one of those partners, you can end up with ten titles a year just from that single relationship." Over the years, PM Studios has acted as a bridge for developers seeking to reach new territories. "I had many friends in Korea who couldn’t get their games out," Yum notes.
"So I started importing titles from Korea and China into the US and Europe." One of those imports turned out to be a game with an outsized impact: Black Myth: Wukong. Yum admits that Black Myth was initially "one of our biggest risks" when PM Studios agreed to manage its physical distribution, yet the title’s performance far exceeded his expectations. "I never imagined it would become that massive.
When it blew up, it was a wild ride – I’ve never witnessed anything like it," he says, adding that the success of that single title essentially "covered everything else" in the company’s portfolio. Ironically, just as PM Studios is riding a wave of physical‑format triumphs, Sony has announced that it will cease production of PlayStation discs in January 2028, effectively pulling the rug out from under the business.
"It’s sad and devastating," Yum declares. "My first games were on PlayStation, and I’m a PlayStation‑centric gamer, so I’ve always bought a lot of physical copies. But the truth is, many of the newer generation are opting for digital.
My own kids – they’re digital natives – get confused when I ask them to pop a disc into the console." Despite the looming shift, PM Studios intends to keep physical publishing alive in whatever form possible. "We’re exploring new ways to get games out there.
Eventually it may become a code in a box, but we want to stress the collectibility of IPs and fan service. We’ll likely produce premium bundles and think up unique packaging solutions to keep the tactile experience alive," he explains.
While digital sales dominate globally, Yum points out that a robust physical market still exists for titles aimed at younger audiences. The studio’s release of the children’s game Bluey’s Quest for the Gold Pen saw roughly 80 % of its sales come from physical copies. He also observes that major IPs continue to perform strongly at brick‑and‑mortar retailers, 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, but when we did a mass‑retail version of Lost in Cult, it sold extremely well.
Fans return for the physical version; collectors love it," Yum says. Physical copies also have an economic advantage: they can be shared among family members, unlike digital licenses tied to a single account.
"I have twins, so I don’t want to purchase two digital copies. I buy one disc, they learn to share it and can lend it to friends," he adds. Beyond practicalities, Yum believes the backlash against the end of discs stems from a sense of loss. "People are upset because you’re taking away a choice," he says, emphasizing that even if most sales are digital, the option to own a tangible product matters to many gamers.
With the PlayStation disc timeline shrinking, PM Studios is adapting its strategy. "That’s why you see us handling more digital titles now," Yum notes. The company remains a champion of physical releases – it is backing a forthcoming disc version of AdHoc Studio’s hit Dispatch – while also expanding into full‑service publishing for games like My Time at Evershine.
PM Studios is also collaborating with Telltale on the long‑delayed sequel The Wolf Among Us 2. "I met the CEO, learned about the hurdles they faced, and offered what we could do to help," Yum recounts. "The biggest piece was funding – I said we could invest, bring in our marketing and production teams, and help get the game finished on schedule." Looking ahead, Yum says the studio aims to "take bigger risks on bigger IPs" while still supporting indie developers. "We remain a big champion for indies.
We’re helping them finish and launch on Switch 2, and we were among the first to ship full games on the new cartridge format. The success of larger titles can fund experiments with new indie projects." Nevertheless, the AA segment carries its own risk due to higher upfront costs.
PM Studios mitigates this by selecting projects with strong indicators – established IPs, sequels, reputable developers, or solid wishlist data – to lower the financial gamble. Yum is particularly impressed by the surge of AA games emerging from China, praising both the quality of the games and the speed of the development teams.
"Chinese developers are incredibly fast, hungry, and talented. They can produce amazing games at a pace and price that outpaces the rest of the world. If other regions don’t keep up, China could dominate the market.
Tencent and NetEase already own a huge share of the industry, so we’re already feeling that pressure," he warns. Even so, PM Studios is not putting all its eggs in the Chinese basket.
Most of its upcoming slate still comes from Western studios, and the company continues to double down on physical‑format advocacy. It recently launched the community platform Panax, designed to unite collectors of physical games and merchandise.
"We’ve been building Panax for years," Yum says. "It went viral after we posted a trophy‑tracking feature.
I’m excited for everyone to see the new tools and the benefits publishers will gain by being on the platform." Physical games may be on the decline, but there are still dedicated players and publishers who will champion the medium until the very end.