U.S. Console Sales Slump in July 2026
Consumers in the United States are currently reluctant to buy new consoles.
Circana’s July 2026 report shows console sales at their lowest since July 2020, when pandemic shortages limited inventory. Hardware spending fell 29% year‑over‑year to $282 million, compared with a low of $163 million in 2020.
Unit sales dropped 39% year‑over‑year, while the average price of a new console rose 16% to $542. All three major manufacturers reported declines: Nintendo’s Switch 2 fell 51%, PlayStation 5 down 6%, and Xbox Series down 18%.
The report says the June 2025 Switch 2 launch and ongoing RAM shortages keep the market depressed, and a price increase for the Switch 2 is set for September 1, 2026.
Improvements seem unlikely, with the looming Switch 2 price hike and continued RAM scarcity. Analysts expect further price rises, and there is little hope they will fall.
The PS5 topped dollar sales, but the Switch 2 led in unit sales and is currently 11% ahead of the original Switch’s sales pace at the same point in its lifecycle.
Overall game spending fell 10% year‑over‑year, driven by declines in both hardware and software sales.