Key information
New data from Circana, shared by analyst Mat Piscatella, reveals a significant downturn for Xbox and PlayStation hardware sales in the US throughout 2026. Through August, Xbox unit sales dropped 33% year over year, reaching an all-time low. PlayStation sales fell 25%, marking the platform's lowest point since 2013.
Rising costs are identified as the primary factor behind these declines. Consumers paid an average of $529 for new Xbox consoles, a 26% increase, while PlayStation buyers faced an average price of $597, up 20%. These figures represent record highs for the US market, with Piscatella noting that price sensitivity is creating substantial challenges.
Hardware price adjustments have been influenced by ongoing memory and storage shortages. Sony increased the PS5 Pro price to $899.99 in April, while Microsoft raised the Xbox Series X to $799.99 on August 1. Additionally, Nintendo set the Switch 2 price at $499.99 in September.
August hardware unit sales fell 15% to 559,000, the lowest total for that month since 2013. Despite the broader market struggles, the Switch 2 remains the best-selling console of 2026. Piscatella described the current market as being in its most precarious position since the early 80s, though he suggests the launch of GTA 6 could potentially mitigate these declines.
