US console hardware market at its most precarious position ‘since the 80s’, says Circana

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   US Console Market Most Precarious Since Early 1980s, Circana Reports

   The US console hardware market is in its most precarious position since the early 1980s, according to Circana Senior Director Mat Piscatella. Year-to-date sales through August 2026 show Xbox hardware unit sales crashing 33% to an all-time low for the brand. PlayStation hardware units fell 25%, marking the brand's lowest point since 2013. These declines coincide with record-high average prices, with Xbox costing an average of $529 and PlayStation $597. Analysts attribute the price surges to component shortages driven by demand from AI data centers.

   Why it matters

   Rising costs for memory and storage have pushed individual console prices higher, with the PS5 Pro reaching $900 and Series X hitting $800. This shift occurs as hardware sales hit a 13-year low. The market instability reflects a broader struggle to maintain volume amid soaring production costs.

   What is confirmed

   • Xbox hardware unit sales in the US are down 33% year-to-date through August 2026.
   • PlayStation hardware unit sales in the US are down 25% year-to-date through August 2026.
   • Xbox US hardware unit sales have reached an all-time low for the brand.
   • PlayStation US hardware sales are at their lowest point since 2013.
   • Mat Piscatella describes the US console market as being in its most precarious position since the early 1980s.
   • Average US prices for new consoles rose to $529 for Xbox and $597 for PlayStation from January to August 2026.

   Still unconfirmed

   • The Switch 2 outsold the PS5 in worldwide hardware estimates for August 2026.
   • The Series X has been pushed to a price of $800 and the PS5 Pro to $900.

   What to watch next

   • Quarterly financial reports from Microsoft and Sony regarding hardware margins
   • Updated US retail tracking data for the final quarter of 2026
   • Official price adjustments by console manufacturers to combat sales declines
   Sources used for this update (17)

   1. wccftech.com — Circana’s Mat Piscatella Warns US Console Market Is Most Precarious Since Early 1980s, As Xbox Hardware Units Crash 33%
   2. Yahoo Finance — Video game hardware sales plunge to 13-year low as prices soar on memory, storage shortage
   3. Forbes — Xbox Sales At An All-Time Low With PlayStation Its Worst In 13 Years
   4. VGChartz — Switch 2 Outsells PS5, All Drop YoY - Worldwide Hardware Estimates for August 2026
   5. TechPowerUp — Xbox and PlayStation US Sales Sink as Average Console Prices Hit Record Highs
   6. Video Games Chronicle — US console hardware market at its most precarious position ‘since the 80s’, says Circana
   7. VGChartz — Switch 2 vs Switch 1 Sales Comparison in the US - August 2026
   8. Wccftech — Circana’s Mat Piscatella Warns US Console Market Is Most Precarious Since Early 1980s, As Xbox Hardware Units Crash 33%
   9. Tom's Hardware — Console market craters as Xbox sales crash 33% to the lowest since launch 25 years ago, PS5 sales drop 25% — steep price hikes push Series X to $800 and PS5 Pro to $900
   10. VGChartz — Circana Says Hardware Market in the US is in Most 'Precarious Position Since the Early 80s'
   11. www.gaming.net — Circana: Xbox US Unit Sales at All-Time Low, PlayStation ...
   12. cashwalklabs.io — US console hardware market at its most precarious position ‘since the 80s’, says Circana | Global Cas....
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