Analyst: Game console shipments expected to decline 19.5% to 33.9m units in 2026
Game console shipments are projected to decline significantly in 2026, falling 19.5% to 33.9 million units according to new analyst data from S&P Global Market Intelligence Kagan. This represents a notable reversal following last year’s recovery, when global console shipments increased by 13.5% to 42.1 million units following the Nintendo Switch 2 launch.
The primary driver of this year’s decline is rising console prices. Manufacturers have increased prices to address ongoing supply chain challenges related to RAM and storage components, making hardware less accessible to consumers at a time when competition for discretionary entertainment spending is intense.
Beyond pricing pressures, the market faces additional headwinds from a limited software pipeline. Outside of major tentpole releases, consumers have limited incentive to invest in new hardware, compounding the impact of higher entry prices. This combination—expensive hardware paired with a thin game slate—creates a challenging environment for console manufacturers and retailers.
The forecast highlights broader industry concerns about console market momentum. The strength generated by Nintendo’s Switch 2 launch has already begun to fade, and without significant price adjustments or major software releases to drive demand, the industry faces potential contraction as consumers hold onto existing hardware longer.