Why Consoles Are Dying Faster Than People Realize

Consoles are dying.

If you would have told people this 10 years ago, they would have called you crazy.

However, the stats don’t lie.

Console hardware sales are down 45%, the lowest since 2020.

Interestingly, Microsoft has been hit the hardest. Xbox Series X/S sales declined by 29% last year, with only 2.7 million units being sold in the US. This officially made 2024 the worst full-year in Xbox history for pure sales.

The PlayStation 5, despite finally passing the PS4 in overall units shipped, has also failed to set the world alight. There’s been a huge slump in PS5 sales over the past couple of years and it still feels like the console has yet to get started, as fans continue to complain about a lack of exclusive games (and any games being released at all, for that matter).

What’s clear to see is that the ‘9th Generation’ never truly took off and has now entered its latter stage, with the next generation of consoles expected to come within a matter of years. But based on current trends and consumer behaviour, there’s no guarantee that consoles will ever bounce back to what they once were, even with the huge sales numbers projected for Grand Theft Auto 6 when it eventually drops.

Why Consoles Are Dying

Booming Mobile Gaming Market

It’s official: mobile is the No. 1 platform for gaming. Gen Z, Millennials, and even old-school games are hooked, with Statista recently projecting that mobile gaming app downloads surpassed 150 billion worldwide in 2024. It shouldn’t come as a surprise, either, as pretty much every human being on the planet now has a miniature gaming console in their pocket by default. This has lessened the need (or desire) to go out and splash tons of cash on a bulky console that you can only play when you’re at home. Instead, people would much rather play mobile games like League of Legends, Call of Duty: Mobile, and Pokémon GO on their mobiles, especially when the vast majority of these games are free-to-play or extremely cheap to begin with.

PC Dominance

It’s not just Android and iOS devices that have caused a major headache for gaming consoles: the dominance of the PC market has also had a hugely negative impact on them. It took a while, but a recent report found that PCs have been outperforming consoles over the past decade. Why? It’s mainly due to the fact that PCs perform better, have greater customization options, and also offer a much larger library of games, including plenty of big-hitting titles like Counter-Strike 2 and Dota 2, which you can’t get on any console. Not to mention, a lot of today’s gamers love the process of building their own gaming PCs from scratch, as it makes it feel like their PCs are truly theirs.

A Switch to iGaming

Ever since 2020, there’s been an incredible cultural shift towards iGaming. Specifically, betting on sports and playing inside online casinos. It’s even reached a point where many Kick and Twitch streamers are broadcasting themselves playing on Stake.us and other popular online gambling sites, which millions of people tune in and watch. Even huge pop culture figures — such as Drake, who signed a $100 million-per-year sponsorship deal with Stake — have got it on the action. And it’s understandable why iGaming has become so popular, too, as the nature of spinning slot reels or playing at roulette tables makes gaming a lot more exciting. However, there are still a lot of questionable operators in the iGaming space, so players must be careful when it comes to which casinos they sign-up with.

Rising Game Costs

Do you feel like video games are a lot more expensive than they used to be? Well, it’s because they are. Back in the good-old days, new AAA titles would typically retail at around $35. Now, though, you’re looking at a minimum of $70 for a brand-new major release game. The highly anticipated release of GTA 6 — set to happen later this year — could also shift the needle even further, with the game projected to hit the market at $100, making it the most expensive release ever. This could then start a trend of other game publishers increasing their prices further, too, which won’t go down well with gamers.

Buggy Games and Too Many Microtransactions

Finally, console sales are down because of a simple reason: people aren’t happy with games being released when they’re not complete. Bugs, glitches, and rushed storylines are all common complaints you see on forums and social media, so it’s understandable why consumer trust has dropped. The biggest complaint of all, though, is that there are too many microtransactions. It’s created a gaming environment where it feels like the games themselves have become secondary and that it’s all about making as much money as possible instead. And considering the fact that microtransactions are indeed a huge money-maker for games companies, it’s unlikely that they’ll ever disappear.

Summary: What’s Next for Consoles?

So, with console sales taking a hit and consumer behaviour changing fast, what’s next for PlayStation and Xbox consoles? Nobody can say for sure, but the future isn’t looking as bright as it once did. When GTA 6 releases, it will lead to a massive resurgence in console engagement, although how long this will last for remains to be seen. But between all of that, PC and mobile gaming will continue to rise at lightning speed, leading to the eventual phasing out of the traditional console. At the same time, iGaming will also continue to dominate, especially now that more states in the US have started to legalize it. Ultimately, console fans don’t need to panic yet — but all signs point to the lifespan of consoles now being on a timer.