**PS5 Surpasses PS4 Sales as Xbox Series Lags Behind Xbox One in the U.S.: A Review of Current Console Market Dynamics**

The gaming sector often experiences shifts in momentum, and the recent sales figures for the PlayStation 5 (PS5) and Xbox Series consoles highlight some fascinating trends in the U.S. landscape. As reported by Matt Piscatella, executive director at Circana (formerly the NPD Group), the PS5’s sales trajectory has exceeded that of its predecessor, the PS4, while the Xbox Series consoles have underperformed relative to the Xbox One during similar timeframes. These findings, detailed in a comprehensive thread on BlueSky, offer a glimpse into the changing console environment and the overall status of the gaming industry.

### **PS5 Sales Outperform PS4**
By December 2024, the PS5 reached a notable achievement, with its lifetime unit sales in the U.S. exceeding the PS4’s pace by 7% over their respective initial 50 months on the market. This reflects an improvement from the 6% lead the PS5 had over the PS4 after 38 months, as reported in December 2023. On a global scale, Sony revealed in November 2024 that the PS5 had sold 65.5 million units, positioning it to potentially challenge or even exceed the PS4’s lifetime sales of roughly 117 million units.

This achievement can be linked to several elements, including a strong lineup of exclusive game launches, enhanced hardware availability following earlier supply chain issues, and an effective marketing approach. The PS5’s capability to sustain momentum in a competitive landscape underscores Sony’s ongoing stronghold in the console market.

### **Xbox Series Faces Challenges Compared to Xbox One**
Conversely, Microsoft’s Xbox Series consoles have encountered a more difficult path. Over the same 50-month timeframe, Xbox Series sales in the U.S. fall 18% short of the Xbox One’s numbers. This gap has increased from a 13% deficit recorded at the 38-month point in December 2023. Although Microsoft does not release specific console sales data, a November 2024 report from the *Wall Street Journal* estimated that Xbox Series sales are around half of the PS5’s global figures.

The factors contributing to the slower performance of the Xbox Series are diverse. While Microsoft’s Game Pass subscription service remains a significant attraction for gamers, a shortage of notable exclusive titles and tough competition from Sony have likely contributed to the sales disparity. Furthermore, the Xbox Series’ focus on a digital-first approach may have restricted its appeal among certain gaming demographics.

### **Decrease in Hardware Spending**
Despite the PS5’s sales increase, the overall gaming hardware market has experienced a notable downturn. Piscatella indicated that hardware spending in the U.S. for December 2024 decreased by 29% year-over-year to $1.1 billion. Sales for both PS5 and Xbox Series hardware declined by 38% compared to December 2023, and annual hardware expenditure was 25% lower than the previous year. This decline can be partly attributed to the Nintendo Switch nearing the end of its product life cycle, with many consumers delaying purchases in anticipation of the Nintendo Switch 2.

### **General Trends in the Gaming Industry**
The drop in hardware spending mirrors a broader trend within the gaming sector. Overall spending on video games in the U.S. fell by 1.1% in 2024 compared to 2023, totaling $58.7 billion. Though this reduction is relatively slight, it underscores the hurdles facing the industry as it navigates a post-pandemic era where consumer spending behaviors have evolved.

### **Best-Selling Games of 2024**
On the software front, various titles emerged as the top sellers of 2024. Leading the list was *Call of Duty: Black Ops 6*, followed by *EA Sports College Football 25*, *Helldivers 2*, and *Dragon Ball: Sparking! Zero*. On Nintendo platforms, *Super Mario Party Jamboree* rose to prominence as the best-selling premium game, highlighting the lasting appeal of the Mario franchise.

### **Looking to the Future**
As the gaming industry approaches 2025, several pivotal questions remain. Will the PS5 continue to capitalize on its success and ultimately exceed the PS4’s total sales? Can Microsoft shift the momentum for the Xbox Series through new exclusive titles and strategic plans? And how will the launch of the Nintendo Switch 2 affect the competitive scene?

For the time being, the PS5’s robust performance and the Xbox Series’ challenges highlight the differing trajectories of these two significant players in the U.S. market. The gaming industry continues to be dynamic, with new developments and surprises likely on the horizon.

For more comprehensive insights, you can explore Matt Piscatella’s complete thread on BlueSky [here](https://bsky.app/profile/matpiscatella.bsky.social/post/