Update: A RadioShack manager who wishes to remain anonymous has confirmed to Joystiq that the retailer will begin selling games and hardware in most of their stores nationwide on Sept. 24. The selection of titles will include Halo 3 (available at launch on Sept. 25), Madden 08 and "every major launch title for the holiday season" according to the source, who was briefed on the plans by a corporate broadcast.

Fourteen games in all will be available through the holiday season, though a list of specific games was not available. In addition, 2,500 of the chain's 6,000+ stores will be selling Xbox 360, Wii and PS2 (but not PS3) hardware in-store -- other locations will be able to special order hardware at a customer's request.

According to our source, the focus will not be on just selling the systems and games, but also the associated accessories and cables that Radio Shack specializes in (and makes the most margin on). After the holidays, the retailer will probably suspend the game sales program "unless it does really well," our source told us. The program will be promoted to consumers in RadioShack's October flier.

Original Post: GameShack, anyone? Analysts are predicting that venerable electronics retailer RadioShack is looking to increase the video game presence in its 6,000 locations across the U.S. Media reports cite analysts from Citigroup and Credit Suisse as predicting the company will start testing game sales in their brick and mortar locations as early as this holiday season. One analyst note suggested stores would be limited to 14 games per location to start. Not exactly numbers to strike fear into the heart of GameStop ... at least not yet.

The Shack has offered a wide selection of games and hardware on its website since 2005 but their in-store gaming selection has been traditionally limited to memory cards, controllers and other accessories. The move into the thriving game industry might be an attempt to reverse three quarters of declining sales for the retailer, yet RadioShack stock was down 6.6 percent Monday on fears that selling games might further depress earnings. Go fig.

Read - Reuters report citing Citigroup analyst
Read - Dallas Morning News report citing Credit Suisse analyst

This article was originally published on Joystiq.