US Video Game Consumer Spending Predicted to Reach $62.8bn in 2026
•February 17, 2026
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Why It Matters
The outlook signals robust revenue potential for publishers and subscription platforms, but supply‑chain strains could compress hardware margins and reshape console launch timelines.
Key Takeaways
- •2026 spending forecast: $62.8 bn, up 3%.
- •Switch 2 sales sustain hardware momentum after 2025 launch.
- •GTA 6 expected to boost hardware, accessories, subscriptions.
- •Component shortages may curb console sales, delay PS6.
- •Subscription services projected to drive significant revenue growth.
Pulse Analysis
The U.S. video‑game market is entering a pivotal growth phase, with Circana estimating consumer spend to reach $62.8 billion by 2026. This trajectory not only eclipses the $61.7 billion record set in 2021 but also reflects a broader shift toward integrated ecosystems where hardware, software, and recurring services intersect. Nintendo’s Switch 2, lauded as the fastest‑selling console after its mid‑2025 debut, exemplifies how a compelling hardware‑software combo can sustain momentum, while Rockstar’s Grand Theft Auto VI promises to act as a catalyst across the entire spend spectrum.
However, the optimism is tempered by persistent supply‑chain headwinds. Global shortages of memory chips and display panels have already pressured the Steam Deck OLED inventory and sparked speculation that Sony may postpone the PlayStation 6 launch until 2028 or later. These constraints could erode console profit margins and force manufacturers to prioritize high‑margin accessories or digital offerings. For investors, the hardware risk underscores the importance of monitoring component pricing trends and the strategic pivots of major OEMs.
Meanwhile, subscription‑based gaming continues its rapid ascent, buoyed by services such as Xbox Game Pass, PlayStation Plus, and emerging cloud platforms. The anticipated releases of titles like Resident Evil: Requiem, Pokémon: Pokopia, and Marvel’s Wolverine add further depth to the software pipeline, reinforcing the subscription value proposition. Companies that can blend strong first‑party releases with flexible, recurring revenue models are poised to capture the lion’s share of the projected $62.8 billion market, while those reliant solely on hardware sales may need to diversify to mitigate supply‑chain volatility.
US video game consumer spending predicted to reach $62.8bn in 2026
3% increase in spending attributed to continued sales of Switch 2 and Grand Theft Auto 6 launch, according to Circana
Image credit: Nintendo/Rockstar Games
US consumer spending on video games is expected to rise 3 % to $62.8 billion in 2026, according to data from Circana.
Last year, total US consumer spending on video game hardware, content, and accessories reached $60.7 billion – a 1.4 % rise from 2024.
The data firm predicts that 2026 could surpass the all‑time high of $61.7 billion set in 2021, with growth attributed to Nintendo Switch 2, Grand Theft Auto 6, and subscription‑based content.
Circana forecasts that the Switch 2 will continue its successful sales momentum. Following its launch in June 2025, the console became the fastest‑selling console in the US after seven months on the market.
However, the data firm notes that rising pressure from component costs could negatively impact hardware sales this year.
Steam Deck OLED stock has already been affected in some regions, and reports suggest Sony could delay the PlayStation 6 to 2028 or 2029 due to constraints on memory and storage availability.
As for software, Circana forecasts that Grand Theft Auto 6 will play a major role in driving sales across hardware, accessories, and subscriptions – an expected outcome given the title's popularity.
Other highly anticipated games, including Resident Evil: Requiem, Pokémon: Pokopia, and Marvel's Wolverine, are also expected to contribute substantially to revenue growth.
“The 2026 US video game market brings great opportunity – and risk,” said Circana’s Mat Piscatella.
“While overall hardware faces headwinds, a stellar slate of software and strong subscription engagement suggests a particularly exciting year.”
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