Spending on game consoles is up because of the Switch 2 and tariffs

The Switch 2 is continuing to acceptable income records.

Americans are spending much connected crippled consoles successful 2025, compared to August of past year, and that’s mostly acknowledgment to the Nintendo Switch 2 and tariffs. Hardware income topped $312 cardinal successful the US successful August, up 32 percent from $236 cardinal successful August of 2024, according to Circana. That’s a immense increase, particularly considering that income of the PlayStation 5, Xbox Series, and archetypal Switch each fell by double-digit percent points twelvemonth implicit year.

A large operator is the Switch 2, which has sold implicit 2.4 cardinal units successful the US during its archetypal 3 months, making it the fastest selling console of each time. It’s outpacing the PlayStation 4 (the erstwhile grounds holder) by a afloat 5 percent aft the 3 period mark. And compared to the archetypal Switch, the Switch 2 is perfectly crushing — outpacing its predecessor by 77 percent astatine this signifier of its lifecycle. 

Consumer spending connected crippled consoles successful the US is up to $2.9 cardinal for the year, 20 percent higher than past year. But portion the fig of consoles sold is up 6.5 percent year-over-year, prices are up 12.3 percent, accounting for astir of the summation successful spending. A 512GB Xbox Series S started the twelvemonth astatine $299.99, and is present $399.99. The all-digital Series X started astatine $449.99, and is present each the mode up to $599.99. Similarly each PlayStation 5 models person seen a $50 terms bump. 

Despite the soaring prices, consumers haven’t been frightened disconnected yet. But, portion $799.99 for a tricked retired 2TB Xbox Series X successful Galaxy Black is hard to swallow, we haven’t rather reached Neo Geo prices yet. That handheld debuted astatine $649.99 successful 1990 — oregon astir $1,500 successful today’s money. So, the barroom is beauteous high.