Xbox US Sales Hit an All-Time Low in 2026: Why Console Sales Are Falling
Xbox US Sales Hit an All-Time Low in 2026: What’s Behind the Slump
Xbox has set a record, and not a good one. New US sales data shows Xbox hardware sales at their lowest level ever for this point in the year, while PlayStation is having its weakest year in more than a decade. Higher prices are the main story, and they’re hitting the whole console market.
The Numbers
The figures come from Circana’s US Retail Tracking Service, shared by analyst Mat Piscatella on Bluesky on October 9, 2026.
- Through August 2026, Xbox hardware unit sales are down 33% compared with the same period in 2025. That’s an all-time low for the platform in the US.
- PlayStation hardware units are down 25%, their lowest point since 2013.
- The average price paid for a new Xbox this year is $529, up 26% from a year ago. For PlayStation it’s $597, up 20%.
Piscatella said price sensitivity is becoming a real problem.
August looked just as rough. Total hardware sales fell 15% to 559,000 units, the weakest August since 2013. Xbox units dropped 31%, its lowest August since 2020, and PlayStation fell 11%. The Nintendo Switch 2 led the US market in both units and dollars for August and for the year so far, with the PS5 in second place.
Why Are Xbox Sales Falling?
Prices keep going up
Microsoft raised Xbox console prices worldwide on August 1, 2026, by $100 for 512GB models and $150 for 1TB models. In the US, that put the Series X with a disc drive at $799.99, the digital Series X at $749.99, and the Series S 512GB at $499.99. The 2TB Series X was discontinued. It’s the third price increase since May 2025.
Microsoft blames memory and storage costs. It says console storage and memory prices have risen by more than 2.5 times and expects them to double again by autumn 2027. That suggests another increase could be on the way.
To soften the blow, Microsoft says it will increase the availability of used consoles and sell certified refurbished systems for $100 less than the suggested retail price, and it also points to buy now, pay later plans and interest-free financing.
Xbox games are showing up elsewhere
Over the past few years, Microsoft has brought more of its games to PlayStation and Nintendo Switch. There’s also cloud streaming. With a Game Pass subscription and a controller, you can play many Xbox games on some smart TVs and Fire TV devices, no console required. If you mainly want the games and not the hardware, there’s less reason to buy a console.
PlayStation Isn’t Doing Much Better
Sony raised PS5 prices in April 2026. The PS5 Digital Edition is $599.99 and the PS5 Pro is $899.99. The sales numbers show buyers pulling back. If you’re considering a PS5 Pro at that price, ask yourself whether you’d really use what it adds. The standard PS5 plays the same games.
Could GTA 6 Turn Things Around?
Grand Theft Auto 6 is scheduled for November 19 and is the big hope for holiday sales. But Piscatella says its effect on console sales will depend on product availability, because of the RAM and component crisis. Circana has also said the US console market hasn’t been in a shakier position since the early 1980s. If you’re buying a console for GTA 6, it’s worth watching for deals before you spend.
What This Means If You’re Shopping for a Console
- Compare total cost. Include storage upgrades and a Game Pass subscription, not just the console price.
- Check refurbished options. Certified refurbished consoles can save you $100 or more.
- Don’t buy in a panic. Prices have risen repeatedly, but rushing into a console you won’t use much is still a waste.
- Consider the Series S carefully. At $499.99, its limited storage and weaker hardware are harder to justify than before.
FAQ
How much are Xbox sales down in 2026?
Through August, US Xbox hardware unit sales are down 33% year over year, an all-time low for the platform, according to Circana.
Why did Xbox raise prices again?
Microsoft says memory and storage costs have gone up by more than 2.5 times.
How much does an Xbox Series X cost now?
$799.99 for the 1TB model with a disc drive in the US. The digital version is $749.99.
Are PlayStation sales down too?
Yes. PlayStation hardware units are down 25% this year, the lowest since 2013.
Which console is selling best?
The Nintendo Switch 2 led US hardware sales in units and dollars for August and for the year to date.
