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There have been thousands of video games available at my library for years (since 2006-2007). Wii, Wii U, PS3, PS4, X360 and X1 are all there. Every year they expand as it is clearly very popular along with CDs and DVDs.

You have to wait 3 months after street release and generally long lines on wait list, but if you're patient can rent tons of games from past few years. They even added 3DS and Vita last year which is cool.

Some people do keep them, but they are charged day one MSRP (usually $60) for doing so and has not been a major issue in this case any more than books or films.