Key Takeaways
1. Xbox console sales increased compared to last year, indicating a shift in consumer preferences.
2. The surge in Xbox sales occurred just before Microsoft announced significant price hikes for consoles.
3. Overall U.S. gaming sector spending declined by 3% in April, with a notable 8% decrease compared to the same time in 2024.
4. PS5 sales fell by 5%, while Nintendo Switch hardware and accessories dropped by 37%.
5. Xbox titles are performing well, with games like Oblivion Remastered leading sales charts alongside PS5 titles.
Circana’s April sales numbers for gaming hardware, accessories, and games in the U.S. has been released. A notable finding is the increase in Xbox console sales compared to the same time last year, marking a shift in trends. The reporting ended on May 3rd, covering the initial days after Microsoft announced price increases for their consoles. On the other hand, sales of PS5 and Switch hardware continued to decline. In contrast, Xbox games were at the forefront of cross-platform sales.
Surprising Sales Trends
It might seem strange that more people are buying Xbox consoles. However, most of the reporting period ended before May 1st, when Microsoft disclosed that the Xbox Series X and Series S would see price hikes ranging from $80 to $130. Mat Piscatella pointed out a noticeable increase in console sales during the last week of the reporting period. This surge could suggest that consumers hurried to purchase available stock before prices were changed by retailers. The analyst believes the May data would give a clearer picture of how the new pricing affected sales.
Industry Spending Declines
In April, U.S. spending in the gaming sector dropped by 3%. Overall, the revenue for 2025 is 8% lower than what was seen in 2024 at the same time. Sales for the PS5 decreased by 5%, which is significantly better than the 26% drop noted in March 2025. There might be concerns among gamers about a potential price increase for PlayStation consoles due to tariffs. Similarly, the Nintendo Switch and its accessories faced a steep decline of 37%. Many gamers might have directed their money towards pre-orders for the Switch 2, set to launch on June 5th.
Continued Success for Xbox Titles
Microsoft’s cross-platform publishing strategies are yielding positive results. Xbox titles such as The Elder Scrolls IV: Oblivion Remastered, Forza Horizon 5, and Indiana Jones and the Great Circle are leading the sales charts that also feature PS5 games. Notably, Oblivion Remastered outperformed the original’s sales in its first 15 months during April.
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