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European Console Market Experiences Sales Dip in 2024

The European video game console market experienced a significant downturn in 2024, primarily attributed to market saturation and a shortage of new releases from major players. Despite the launch of the PlayStation 5 Pro, a refreshed version of the existing PS5, overall console sales plummeted by 21% compared to 2023.

Individual console performance reflected this trend. While the PlayStation 5, bolstered by the PS5 Pro release, fared relatively better with a 20% sales decrease, the Nintendo Switch saw a 15% decline, and the Xbox Series X/S suffered a dramatic 48% drop. This downturn is largely attributed to the age of current-generation consoles; the original PS5 and Xbox Series consoles launched in 2020, and the Nintendo Switch debuted in 2017. The market appears to have reached a plateau, with the success of the Meta Quest 3S in the US further suggesting a potential shift in consumer preferences.

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Digital Sales Rise Amidst Physical Decline

While console sales faltered, the overall European gaming market showed a modest 1% increase in 2024, reaching 188.1 million units sold (PC and console combined). This marginal growth, however, masks a significant shift in purchasing habits. Digital game sales surged by 15%, reaching 131.6 million units, while physical game sales plummeted by 22%, totaling 56.5 million units. This clearly indicates a growing preference for digital distribution.

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Outlook for 2025: Anticipation for New Releases

The year 2025 is anticipated to revitalize the European gaming market. The upcoming release of the Nintendo Switch 2 is expected to significantly boost console sales. It's important to note that the reported data excludes several major European markets, including the UK, Germany, the Netherlands, and Austria. The inclusion of these regions might potentially alter the overall picture for 2024.

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