adminNintendo Switch 2 physical game spending helped push US boxed-game sales higher for the first time in years. The increase was modest, and Circana senior director Mat Piscatella cautioned that it may be temporary, but the figures offer a notable snapshot of how the new console is affecting physical game purchases.
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Nintendo Switch 2 physical game spending lifts the US market
For the 12 months ending in May 2026, US spending on physical video games rose 3% year over year to $1.6 billion, according to Circana data shared by Piscatella. The previous year-over-year increase in physical game spending was recorded in 2009, when the market reached $11.5 billion.
The comparison shows how much the market has changed: the latest rise is small relative to the scale of physical spending in 2009. It is also a year-over-year result for a specific 12-month period, rather than evidence that physical sales have returned to long-term growth.
Why boxed game sales increased
Piscatella attributed the increase to the Switch 2 launch. Physical software sales on Nintendo platforms were about 26% higher than a year earlier, although they remained below the level for the 12 months ending in May 2024.
Other console ecosystems continued to record double-digit percentage declines, according to Piscatella. He described the overall rise as likely to be a temporary blip, rather than a clear reversal of the broader move toward digital purchases.
Practical takeaway: The 3% increase applies to US physical game spending across the reporting period. It should not be read as a 3% increase in every platform’s sales or as a measure of total game spending.
Digital sales and the future of physical formats
Piscatella said the long-running decline in physical sales reflects the overwhelming share of purchases now made digitally. He also noted that second-hand sales do not significantly affect the overall trend. Physical game spending may eventually stabilize, but the outlook could depend on whether console makers continue to produce hardware with disc drives.
Code-in-the-box releases add another wrinkle to the definition of a physical game. Piscatella reported that 30 games had sold more than 1,000 copies each in this format so far in 2026. Examples included Just Dance 2026, Split Fiction and Mario + Rabbids: Sparks of Hope. These packages are sold physically but provide a download code rather than the game on a disc or cartridge.
Switch 2 sales and what to watch next
Nintendo Switch 2 launched in June 2025. By March 2026, global console sales had reached 19.86 million. In the United States, the system sold more than 1.1 million units during its first week, setting a hardware sales record. Nintendo was also reported to be planning a 20% production increase to meet demand.
Grand Theft Auto 6 was reported to be scheduled for release on November 20, with physical copies expected to contain a download code in the box. Its format highlights why packaged sales figures may not always mean that players are buying a disc or cartridge containing the full game.
Conclusion
Nintendo Switch 2 physical game spending contributed to a 3% year-over-year rise in US boxed-game spending for the 12 months ending May 2026. The Switch 2-driven increase stands out against continued declines across other ecosystems, but Piscatella’s assessment is that it may be temporary. Future sales will depend in part on consumer demand for packaged games and the availability of consoles with physical drives.
