Xbox console sales fall 39% in the UK, making it 'by far the worst year on record'

Christopher Dring, a publisher of expert analysis and exclusive data on the global games industry, reported that Xbox console sales in the UK fell 39% year-on-year in 2025, making it 'by far the worst year on record.' Meanwhile, PlayStation 5 (PS5) sales in the UK fell only 12% during the same period.

Xbox suffers 'worst year on record' for console sales in the UK | Eurogamer.net
https://www.eurogamer.net/xbox-suffers-worst-year-on-record-for-console-sales-in-the-uk

'Xbox console sales in the UK fell 39% in 2025, making it the worst year on record for Xbox console sales. Will 2026 be an improvement as popular Xbox franchises return?' Dring wrote.

Sales of Xbox consoles were down 39% in the UK during 2025, making it comfortably the worst year on record for Xbox consoles. With the return of favorite Xbox franchises in 2026, might things improve this year?

— Christopher Dring (@Chris_Dring) January 2, 2026

The three major hardware manufacturers, Nintendo, which sells the Nintendo Switch 2, Sony Interactive Entertainment (SIE), which sells the PlayStation, and Microsoft, which sells the Xbox, have all seen year-on-year declines in sales of their game consoles, gaming media Eurogamer.net points out.

According to a report from overseas gaming media IGN , Xbox sales in the US fell 70% year-over-year, citing two price hikes as the cause.

Microsoft announces price increase for Xbox Series S | X, Xbox Series X in the US to increase by 22,000 yen in just six months - GIGAZINE

Because gaming hardware has low profit margins, hardware manufacturers typically make their profits from game software sales. Microsoft, which sells Xbox, is focused on maximizing its reach and sales by leveraging its own titles and subscription services like Xbox Game Pass.

Xbox also planned to raise the prices of its video games, but the plan was scrapped after criticism from users.

Xbox abandons price hike for game software, abandons 1,500 yen price increase due to criticism from users - GIGAZINE

Microsoft implemented large-scale staff cuts at Xbox in 2025, which led to the closure of The Initiative, a game studio developing a reboot of 'Perfect Dark.' The company has also canceled development of several other titles, and ' Call of Duty: Black Ops 7, ' released in November 2025, continues to struggle.

Microsoft lays off 9,000 employees, equivalent to 4% of its total workforce, halting development of the reboot of 'Perfect Dark' and closing the studio - GIGAZINE

Matt Booty, president of Game Content & Studios at Microsoft, has reported that the company plans to host a Dev Direct, an official livestreaming event in late January 2026, where development studios will share information about new game titles currently in development for Xbox and PC. 'We're going to be releasing so much information that we can't fit it all into one show,' Booty said.