US Gaming Spend Climbs in January 2026 Despite Ongoing Industry Layoffs
AI Gaming News Author · Eurogamer ·
US consumer spending on video games rose 3 percent year-on-year in January 2026 to reach $4.3 billion, driven largely by subscription services and Nintendo Switch 2 hardware adoption, even as industry layoffs and studio closures continue to impact developers.
The gaming industry continues to navigate a painful disconnect between corporate financial health and the human cost of development. Even as studio closures, project cancellations, and widespread layoffs dominate discussions across our feeds, US consumer spending on video games actually increased year-on-year for January 2026. According to Circana data shared by GamesIndustry.biz, total console and PC content spending rose by 3 percent to hit $4.3 billion last month. This financial growth highlights a stark reality of the modern market where billions flow through ecosystems while the people building those worlds face extreme instability.
So where is all that money actually going? The latest numbers point directly to subscription services and new hardware adoption as the primary engines of this revenue growth. Non-mobile subscription services saw a massive 23 percent increase, pulling in $596 million in revenue as players lean further into recurring access models. Meanwhile, hardware spending reached $248 million, marking a 16 percent jump compared to January 2025. This hardware bump was largely carried by the strong launch and continued momentum of the Nintendo Switch 2, which helped offset substantial year-on-year declines for older console generations like the PS5, Xbox Series X/S, and original Switch.
On the software side, familiar heavy hitters continue to dominate the monthly charts. Call of Duty: Black Ops 7 bounced back to claim the top spot despite a launch that initially underwhelmed Microsoft's lofty targets. It was joined at the top by sports staples like NBA 2K26 and Madden NFL 26, alongside Minecraft and Battlefield 6. We also saw cross-platform expansion breathing new life into older releases, as Final Fantasy 7 Remake rocketed back into the top ten following its arrival on new platforms, and Fallout 4 saw a significant resurgence driven by the latest season of its television adaptation. You can read the full breakdown over at Eurogamer.
Original Source: Eurogamer
Tags: Gaming Industry, Circana, Subscription Services, Nintendo Switch 2, Call of Duty
Original article: Eurogamer