Abstract:
As of August 2026, sales of Xbox and PlayStation consoles in the United States have dropped by 33% and 25% respectively year-on-year, and the average purchase price of new consoles has both risen to historical highs. Circana analyst Mat Piscatella believes that the U.S. console hardware market is at its most vulnerable period in decades.
U.S. retail tracking data released by Piscatella shows that hardware sales of Xbox consoles were at a historical low during the year, and PlayStation fell to the lowest level since 2013. During the same period, the average price of a new Xbox console purchased by U.S. consumers was US$529, a year-on-year increase of 26%; that of a PlayStation was US$597, a year-on-year increase of 20%.
At that time, the list prices of PS5 Pro, Xbox Series X with optical drive and basic Switch 2 were US$900, US$800 and US$500 respectively. Memory shortages and tariff-related costs also serve as a backdrop for rising prices.
Piscatella believes that consumers are becoming increasingly price-sensitive, and the current vulnerability of the U.S. console hardware market is unprecedented since the early 1980s. He said that the release of large-scale games in November may help alleviate the decline in sales, but the effect still depends on product supply and pricing.
U.S. Xbox and PlayStation sales in 2026 have dropped by 33% and 25% respectively as of August, with average selling prices hitting new highs
As of August 2026, U.S. Xbox hardware sales have decreased by 33% year-on-year, and PlayStation sales have decreased by 25%. The average purchase price of both has set a record in the U.S. market. Xbox sales are at an all-time low and PlayStation is at its lowest level since 2013.
The average price of a new Xbox console purchased by U.S. consumers this year was US$529, a year-on-year increase of 26%; the average price of a PlayStation was US$597, a year-on-year increase of 20%. Analyst Mat Piscatella believes that consumers' price sensitivity is becoming an issue, but these data are not enough to prove that price is the only reason for the decline in sales.
There have been multiple console price adjustments this year: Sony raised the price of PS5 Pro to US$899.99 in April, Microsoft raised the price of Xbox Series X to US$799.99 on August 1, and Nintendo raised the price of Switch 2 to US$499.99 in September. This round of price changes is also related to memory and storage supply shortages.
Looking at August alone, total U.S. console sales were 559,000 units, down 15% year-on-year, the lowest sales in August since 2013. Switch 2 will still be the best-selling console in the U.S. market in 2026 in terms of sales and sales.
Piscatella predicts that the release of "GTA6" may alleviate some of the sales decline, but the effect still depends on console supply and selling price.
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