US console hardware spending limped to $282 million in July 2026, the weakest July total since the pandemic-disrupted 2020 figure of $163 million. Circana data shows a 29 percent year-over-year decline, with unit sales off 39 percent while the average selling price climbed 16 percent to $542.

Nintendo, Sony, and Microsoft each posted declines. Switch 2 hardware fell 51 percent year-over-year against a strong 2025 launch baseline. PlayStation 5 units slipped 6 percent and Xbox Series units dropped 18 percent. The RAM and component shortage continues to push prices higher, with a further Nintendo Switch 2 price increase scheduled for September 1, 2026.

Overall video game spending also eased, dropping 10 percent year-over-year amid softer hardware and software results. Analysts have warned that elevated prices are unlikely to ease soon, with some forecasts pointing to continued increases through at least 2028. PS5 led dollar sales for the month while Switch 2 led in units.

The market comparables remain pressured by last year’s Switch 2 launch window, yet the underlying softness across all three platforms points to sustained consumer resistance at current price points.