The Nintendo Switch 2 has concluded its initial 12 months on the market as the second fastest-selling hardware platform in U.S. history, according to new data from Circana. The console has achieved an install base of 5.9 million units in the United States within its first year.
This figure places the Switch 2 behind only the Game Boy Advance, which sold 6.5 million units in its inaugural year. Nintendo has stated that the Switch 2 is its fastest-selling hardware globally. However, the company anticipates selling fewer units in the console's second year, noting that Switch 2 sales were more concentrated in its launch year compared to previous hardware.
Despite some sales fluctuations, the announcement of a forthcoming price increase appears to have stimulated Switch 2 sales in May. Circana's Senior Director, Mat Piscatella, reported that hardware spending in May increased by 38% year-on-year, reaching $249 million. The Switch 2's performance helped offset a significant 43% drop in PlayStation 5 spending and a 58% decrease in unit sales, attributed to recent price hikes.
In contrast, Xbox Series hardware spending saw a 7% increase compared to the previous year, although unit sales declined by 12%. For the month of May and the year-to-date period, the Nintendo Switch 2 led in both unit and dollar sales, with the PS5 ranking second in both metrics. This marks a challenging period for current-generation consoles, with PlayStation hardware unit sales reaching their lowest May total since 2000 and Xbox hardware unit sales hitting an all-time low for the month of May.
The rising cost of gaming hardware is a growing concern. The average price paid for a new unit of video game hardware in May reached $502, a 14% increase from $440 a year prior. This trend is exemplified by the PS5's average price increasing by 33% to $672, and the Xbox Series increasing by 22% to $524. Reports suggest future consoles, such as Sony's PS6 and Microsoft's Project Helix, could launch at approximately $1,000.
Nintendo projects selling 16.5 million Switch 2 units in the upcoming financial year, a decrease from the 19.86 million sold since its launch. Nevertheless, this projection would still position cumulative Switch 2 sales at a higher point after 22 months than the original Switch achieved at the same stage in its lifecycle. The long-term success of the Switch 2 in comparison to its predecessor remains to be seen.