According to TechSpot , the gaming industry is witnessing a dramatic shift from physical (disc-based) gaming formats to digital. According to the latest data from Circana, US consumer spending on physical games has halved since 2021 and is down 85% from its peak in 2008.
Game disc sales have dropped 85% since their heyday.
PHOTO: TECHSPOT SCREENSHOT
The game disc business market is gloomy.
Specifically, physical game sales in the US have fallen from nearly $12 billion in 2008 to just under $2 billion in 2024. This decline is partly due to the growing popularity of digital downloads, especially on PCs. By 2022, it is estimated that about 72% of global console game sales will be from digital downloads.
This change has had a major impact on traditional game retailers. The GameStop chain in the US has had to cut staff and close many branches. In the UK, the one-time retail giant GAME is also struggling to stay afloat.
This trend is reflected in the latest consoles, where the PlayStation 5 is available in a digital-only version, while the Xbox Series S and PS5 Pro are both disc-free.
There are still bright spots for the physical gaming market, however. The Nintendo Switch, a popular console for family games, has maintained steady sales of physical games. In addition, two major events this year are expected to boost the physical gaming market: the launch of the Nintendo Switch 2 and GTA 6 , both of which support the disc format.
Will these efforts be enough to revive the physical gaming market? The answer remains to be seen. However, one thing is certain: traditional game discs face a challenging future.
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