US Console Sales Hit Lowest Point Since 1980s Amid Record Prices

The American console market faces its most precarious situation since the early 1980s as hardware prices climb to historic highs and sales figures plunge across major manufacturers, bnr.nl reported. The American console market finds itself in the most vulnerable situation since the beginning of the eighties according to market research firm Circana.

Hardware Sales Drop Across PlayStation and Xbox

Sales for PlayStation reached their lowest point since 2013, according to sales data analyzed by Circana and cited by bnr.nl. In the United States, Xbox hardware sales tumbled 33 percent up to August compared to the same period in the previous year, while PlayStation sales dropped by 25 percent. For Xbox, this represents the lowest sales level ever.

Nintendo also recorded poor figures, with sales falling by 15 percent compared to the previous year. According to the sources, the Nintendo Switch 2 and the PlayStation 5 ranked as the top-selling consoles in America through August, while the basketball video game NBA 2K27 claimed the top spot in monthly software sales.

In July, Sony announced that it will stop producing physical game discs for new PlayStation games.

Component Shortages Drive Record Hardware Prices

The market downturn stems largely from surging retail prices driven by severe hardware component shortages. High demand from artificial intelligence datacenters has strained supply chains for parts, pushing console prices up significantly. Circana director Mat Piscatella noted that consumer price sensitivity is becoming an increasingly bigger problem.

Consumers in the United States paid an average of 597 dollars for a PlayStation—a 20 percent increase from the previous year. A new Xbox cost an average of 529 dollars, representing a 26 percent price jump compared to 2025. Circana analyst Mat Piscatella stated that these figures represent the highest average prices ever recorded for both consoles in the US market, leaving the hardware sector in its most vulnerable state in decades.

Holiday Supply Risks and Upcoming Software Releases

However, the game’s impact remains tied to console availability, with ongoing supply chain constraints creating a serious risk that retail stores will lack sufficient inventory to meet consumer demand during the peak holiday shopping season.

Xbox has previously indicated that demand for its consoles exceeds the available supply. Although the manufacturer is trying to ramp up production, it remains difficult to deliver sufficient units.