PlayStation Console Sales Plummet to Early 2000s Levels

May 2026 proved to be one of the weakest months for the US console market. According to Circana data, PlayStation 5 unit sales fell by 58% compared to May last year, marking the worst May result for the platform since 2000. Xbox Series also showed a decline — console sales decreased by 12%, setting a record low for this month.

Despite the drop in demand, total consumer spending on gaming hardware increased by 38% to reach $249 million. The main growth driver was the Nintendo Switch 2, which maintained its leadership in both units sold and revenue since the beginning of the year. In its first year after launch, the console's installed base in the US reached 5.9 million units, making it the second fastest-selling gaming system in American market history after the Game Boy Advance.

The average cost of a new gaming console in May increased to $502, compared to $440 a year earlier. The PlayStation 5 saw a particularly significant price increase — the average price rose by 33% to $672. The Xbox Series added 22%, reaching an average cost of $524.

Microsoft has already announced a new price hike, which will take effect on August 1, 2026. The basic digital Xbox Series X with a 1TB drive will cost $749.99, and the Xbox Series S with 512GB of memory will be $499.99. Thus, since its launch in 2020, the disc-drive version of the Series X has increased in price by $300, and the Series S by 50%.

The company attributed the price increase to the ongoing crisis in the components market. According to Microsoft, memory and storage prices have more than doubled, and another twofold increase is expected by autumn 2027.