US gaming hardware market in worst shape since early 80s analysts warn
Circana analyst Mat Piscatella has stated that US console market is in deep decline as Xbox and PlayStation hardware sales continue to fall as prices keep climbing.
Xbox hardware sales are down 33% compared to a year ago while PlayStation hardware units are down 25%. Their lowest since 2013.
Prices are to blame with many feeling the crunch. You've heard it all before; the non stop surge of new AI data centres are eating up all the memory which has forced hardware manufacturers to up prices to compensate as they struggle to source components. PS5, Switch 2 and Xbox Series have all had price increases - some even multiple times. GameStop have even recently upped the price of used PS5 Pro's to £1399.99 amid the short supplies.
Mat Piscatella said: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. Both prices are at all-time US highs. Price sensitivity is becoming a real problem.
Micron's CEO has previously warned that memory shortages are set to continue until at least 2028 and Xbox CEO Asha Sharma has said the company's console storage costs have quadrupled with another significant increase expected before the 2027 holiday season.
What do you make of it? Have you already gotten your consoles or have your plans to upgrade changed amidst all these price hikes?











