GameFly
| Company type | Private |
|---|---|
| Industry | Video game rental, Online subscription service |
| Founded | May 2002 |
| Founder | Sean Spector, Jung Suh, Toby Lenk |
| Headquarters | United States |
Area served | Worldwide |
| Products | Video game rentals, Game distribution platform (formerly) |
| Owner | Alliance Entertainment's parent group |
| Website | gamefly |
GameFly is a U.S.-based private company offering an online subscription service for renting video games, focusing on titles for Nintendo, Sony, and Microsoft consoles starting from the sixth generation onward.
The company's operational approach is similar to DVD rental-by-mail models such as those used by Netflix and Blockbuster online. In 2009, GameFly initiated legal action against the U.S. Postal Service, accusing it of providing preferential treatment by handling Netflix and Blockbuster DVDs without postage fees. Subscribers have access to a library exceeding 8,000 game titles for a recurring monthly charge.
In May 2018, Electronic Arts purchased GameFly’s cloud gaming technology assets along with its staff, including its branch in Israel. Although GameFly shares ownership with Alliance Entertainment's parent group, it functions as an independent entity.
History
GameFly was established in May 2002 by founders Sean Spector, Jung Suh, and CEO Toby Lenk, receiving venture funding from Sequoia Capital. In February 2009, the company expanded by acquiring Shacknews, a gaming news and community website that also provided download and streaming options. By February 2011, GameFly further broadened its portfolio through the acquisition of MobyGames.
Despite filing for an initial public offering in February 2010, GameFly remained privately held as of 2017. The company terminated its streaming service on August 31, 2018.
Purchase of Direct2Drive
In 2011, GameFly purchased Direct2Drive, an online game distribution platform previously owned by IGN. The two services were later combined, allowing subscribers to manage their accounts under a unified system.
After this integration, GameFly introduced the "GameFly Client," which merged functionalities from both Direct2Drive and GameFly. Officially launched out of beta on November 8, 2012, this client allowed users to download and install PC games and rentals directly without accessing the website.
By April 2014, GameFly divested Direct2Drive to AtGames.