As Xbox and PlayStation sales reach new lows, analyst says the "US hardware market has not been in a more precarious position since the early 80s"
PS5 and Xbox Series X/S consoles are more expensive than ever in most markets, thanks largely to memory components being gobbled up by AI data centres.
PS5 and Xbox Series X/S consoles are more expensive than ever in most markets, thanks largely to memory components being gobbled up by AI data centres.
The short version
- Now, analyst Mat Piscatella worries the console market, at least in the US, hasn't looked this dire since the early 1980s, which was maybe not-so-coincidentally when the industry absolutely collapsed.
- Circana's Piscatella recently jumped online to reveal that Xbox and PS5 price hikes caused a big blow to sales, somewhat unsurprisingly.
- Xbox hardware sales are reportedly down 33% "versus a year ago in the US, while PlayStation hardware units are 25% lower." Those year-to-date stats mark a new all-time low for Xbox, and PlayStation's lowest point since 2013.
What happened
"The average price a consumer has paid for a new Xbox console in 2026 YTD ending August is $529, 26% higher than a year ago, while the average PlayStation console has sold for $597, 20% higher than last year," Piscatella added. "Both prices are at all-time US highs.
Why it matters
"The US hardware market has not been in a more precarious position since the early 80s," Piscatella added.
Summary by Nerd News Network. Read the full article at Eurogamer via the links above and below.