Industry

Switch 2 is the second fastest-selling console in U.S. history as hardware prices rise

With 5.9 million units sold in its first year, Nintendo’s latest system outpaced PlayStation and Xbox during a turbulent market.

Gabriel Huerta

Update: Jun 27th, 2026 00:14 CEST

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The latest market data from Circana highlights a stark divide in the U.S. video game industry. While Sony and Microsoft are struggling with declining sales, Nintendo is enjoying a major success: the Nintendo Switch 2 has become the second fastest-selling console in U.S. history.

After its first 12 months on sale, the system reached 5.9 million units sold, trailing only the Game Boy Advance, which moved 6.5 million units in its debut year 25 years ago. According to Circana’s May 2026 report, the Switch 2 was the best-selling console in the U.S. for the month, outperforming both PlayStation and Xbox hardware and driving overall hardware spending up more than 33 percent year over year.

Switch 2 is the second fastest-selling console in U.S. history as hardware prices rise

A market in decline due to price increases

Beyond Nintendo’s performance, the console market is facing severe pressure. PlayStation 5 sales fell 58 percent year over year, marking their lowest May total since 2000. Xbox Series X/S hardware also declined, down 12 percent, reaching the lowest undisclosed May volume ever recorded for the brand.

The primary factor behind these declines is cost. In May 2026, the average price paid for new gaming hardware rose to $502, up from $440 a year earlier. Recent pricing adjustments pushed the average PlayStation 5 price up 33 percent to $672, while Xbox Series X|S systems increased 22 percent to $524.

This mid-generation price inflation is unusual and is being driven by ongoing global component shortages. Demand for semiconductors and high-performance parts—largely fueled by the rapid expansion of AI data centers—has strained the consumer electronics supply chain. The impact is already visible in premium products, such as Steam Machine hardware from Valve, anounced earlier this week, which carries a baseline price near $1,000.