Video game hardware sales in the United States plummeted in November 2025, marking the worst performance for the month since 1995 despite the launch of the new Nintendo Switch 2. Only 1.6 million units sold, with the PlayStation 5 outselling the newcomer. Rising prices and economic factors contributed to the downturn.
Sales Performance
November 2025 delivered a stark reminder of challenges in the gaming hardware market. According to industry analyst Mat Piscatella of Circana, just 1.6 million new consoles were purchased in the US, a figure barely above the 1995 record low of 1.4 million when the original PlayStation debuted. This slump occurred even as Nintendo introduced the Switch 2, its first major console refresh in eight years, during the holiday shopping season including Black Friday.
Surprisingly, the five-year-old PlayStation 5 claimed the top spot in sales, benefiting from aggressive $100 discounts on its all-digital model. The Switch 2, while receiving some Cyber Monday reductions, did not dominate as expected. Microsoft's Xbox Series X placed third, with no holiday discounts offered, possibly reflecting a strategy to push cloud gaming and cross-platform play over new hardware sales.
Rising Costs and Economic Pressures
The average price for a new console reached a November record of $439, an 11% increase from the previous year and more than double the $235 average in November 2019. Factors include multiple price hikes by Nintendo, Sony, and Microsoft amid ongoing trade tensions from the Trump administration. For instance, the Xbox Series X, originally $500 at launch five years ago, now retails for $650 at major outlets like Best Buy.
Piscatella noted the broader context: "Correlation does not necessarily imply causation…unless it does," hinting at potential economic woes. Free-to-play options like Roblox and the return of Fortnite to mobile devices make high-priced consoles less appealing, especially for budget-conscious families facing $500-plus price tags.
Top Software and Broader Implications
Call of Duty: Black Ops 7 emerged as November's best-selling game, though it trails Battlefield 6 for the full year. The absence of Grand Theft Auto 6's anticipated launch hype further muted PS5 momentum. This hardware drought raises questions about the sustainability of premium gaming amid inflation and shifting consumer habits toward accessible digital alternatives.
