Nintendo may soon find itself as the de facto guardian of physical game releases, according to industry analysis. Reports suggest that Sony plans to transition PlayStation games to a digital-only format by 2028, with Microsoft rumored to follow a similar path for its next-generation Xbox.
This potential shift by its main competitors could leave Nintendo as the only major console manufacturer that continues to release physical games. Mat Piscatella, Circana's senior director and video game industry advisor, commented on the trend, suggesting that both the upcoming PlayStation 6 and Microsoft's Project Helix consoles are likely to be digital-only.
Piscatella stated that Nintendo typically operates independently and is unlikely to alter its strategy in response to Sony and Microsoft's decisions. "My gut says Nintendo does what Nintendo wants to do, and I don't see them changing anything in their plans based on what Sony or Microsoft do on anything, really," he explained. "Nintendo is going to be Nintendo, for better and/or worse."
Retailers have increasingly supported Nintendo in recent years, and the company holds a significant share of physical software and hardware sales, particularly since the launch of the Switch. This trend could be further amplified if Nintendo remains the sole provider of physical media.
Nintendo's own financial reports indicate that digital sales currently account for 67.2% of its software purchases for the fiscal year 2025-2026. While digital sales have grown significantly across the industry, with Sony platforms seeing 78% of sales being digital, the continued availability of physical options for Nintendo hardware remains a key differentiator.
Even on Nintendo platforms, the definition of 'physical' is evolving. Many third-party titles are sold as Game-Key Cards, which are essentially cartridges containing an authentication key. Players still need to install the game data to their console and keep the cartridge inserted to play. These cards are not tied to specific accounts or consoles and can be resold, allowing new users to access games provided the online servers remain active. This model mirrors how PlayStation and Xbox discs have functioned for years, requiring data installation and the physical media for authentication.
Despite their publisher-friendly nature and lower cost, Game-Key Cards have raised concerns among some preservationists regarding the future of video game archiving efforts.