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US video game hardware spending drops 29% YoY in July to $282M as unit shipments fall 39%

US video game hardware spending and unit shipments declined sharply in July, with average console prices rising to $542.

WHY IT MATTERS

The decline in hardware spending and shipments signals weaker consumer demand for gaming consoles, which may pressure developers to adjust production or pricing strategies. Rising average prices could further dampen adoption, particularly in cost-sensitive markets.

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The three things worth knowing

01

US video game hardware spending fell 29% YoY in July to $282M, the lowest since COVID.

02

Unit shipments dropped 39% YoY, while average console prices reached $542.

03

The data suggests a broader slowdown in the gaming hardware market, potentially affecting supply chains and software development cycles.

THE CLUSTER

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Techmeme Circana: US video game hardware spending fell 29% YoY in July to $282M, the lowest since COVID; unit shipments fell 39% as average console prices hit $542 (Vlad Savov/Bloomberg) Open ↗