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Credit: Microsoft
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Xbox US Console Unit Sales Hit Record Low Through August as Prices Rise

October 12, 2026·4 min read

Xbox console unit sales in the US fell 33% during the first eight months of 2026, reaching their lowest level for the period on record, according to Circana. PlayStation sales also declined as average console prices climbed to record highs. Rising component costs and potential hardware shortages could make a holiday sales recovery difficult.

Xbox console sales in the United States have reached a record low for the January-to-August period, according to new data from market research firm Circana. Xbox hardware unit sales fell 33% year over year during the first eight months of 2026, while PlayStation sales declined 25%.


Circana senior director Mat Piscatella shared the figures on October 9. He confirmed that Xbox recorded its lowest unit sales for a comparable year-to-date period, while PlayStation reached its lowest level since 2013.


The declines come as both manufacturers raise console prices. Circana also found that the average prices paid for new Xbox and PlayStation hardware have reached record highs in the US.

Xbox and PlayStation sales continue to decline

Three Xbox Series X consoles in Carbon Black, Robot White and Galaxy Black stand with matching controllers on a green background.
Microsoft

The latest figures show that hardware sales remained weak in August, extending the downturn seen throughout 2026. Xbox unit sales fell 31% compared with August 2025, marking the platform's weakest August performance since 2020. PlayStation sales dropped 11%, reaching their lowest August total since 2013.


Nintendo hardware sales also declined 15% year over year. Across the US market, consumers purchased approximately 559,000 new gaming consoles during August. That was 15% fewer than a year earlier and the lowest August total since 2013. However, the decline in units was not matched by an equally large drop in spending. Total US consumer spending on gaming hardware fell just 3% to $302 million.


PlayStation 5 hardware dollar sales even increased 17% despite the decline in units sold. Higher selling prices helped support consumer spending while fewer consoles were being purchased. Nintendo Switch 2 remained the best-selling console in the US by both units and revenue for August and the year-to-date period. PlayStation 5 ranked second in both categories.

Console prices reach all-time highs in the US

White PlayStation 5 console stands beside a DualSense controller against a dark blue background with PlayStation symbols.
Sony Interactive Entertainment

Circana's data also highlights how much more consumers are paying for gaming hardware. The average price paid for a new Xbox console during the first eight months of 2026 reached $529, up 26% from the same period last year.


PlayStation's average selling price climbed 20% to $597. Both figures represent record highs for their respective platforms in the US. These numbers reflect the average amount consumers actually paid for new consoles, rather than the official retail price of any particular model.


Microsoft increased Xbox console prices worldwide on August 1, raising prices by $100 for 512GB models and $150 for 1TB models. The company cited rising memory and storage costs, which it said had increased substantially over the previous year.


Sony introduced another round of PlayStation price increases in April. The standard PS5 now costs $649.99 in the US, while the Digital Edition is $599.99 and the PS5 Pro is $899.99.

Piscatella warned that consumers are becoming increasingly sensitive to higher prices. The latest figures show how the hardware market is facing weaker demand while the cost of buying a new console continues to rise.

Circana warns hardware shortages could limit a recovery

Piscatella described the current US console market as being in its most precarious position since the early 1980s. His concerns extend beyond declining sales. Manufacturers are also dealing with rising component costs and shortages of memory and other hardware parts.


Those pressures could become particularly important during the upcoming holiday shopping season.


Piscatella suggested that a major game launching in November could help ease some of the hardware sales declines. However, he cautioned that any recovery would depend on hardware availability and pricing.


The upcoming launch of Grand Theft Auto VI on November 19 could encourage more consumers to purchase PS5 and Xbox Series consoles. But stronger interest would not necessarily translate into higher sales if prices remain elevated or stock becomes difficult to find.


For now, Circana's figures show a widening gap between the number of consoles being sold and the amount consumers must spend to purchase them. Whether the holiday season can reverse that decline remains uncertain.

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