Game hardware is being hit hard by a global shortage of memory and storage chips. According to Sina Finance, Microsoft, Nintendo, and Sony have all raised prices for their game consoles to offset higher component costs and the impact of earlier tariffs.

Circana data showed that August game hardware sales fell 15% year over year, marking the lowest August sales level in 13 years. Circana gaming executive director Mat Piscatella said console price increases have already had a negative effect and directly reduced unit shipments.

Piscatella added that some products are now out of stock, which may be linked to the memory and component supply crisis. He said the shortage appears especially severe for Sony's PS5 Pro, with some secondhand units at retailers selling for more than $1,000, although he could not confirm whether that was directly caused by the memory and storage chip shortage.

Circana also said August spending on game hardware fell 3%, while year-to-date spending was down 11%.