Switch 2 sales down more than a third year-on-year
Switch 2 sales are down by more than a third compared to the console's explosive launch a year ago.
Sunday, August 9, 2026
Switch 2 sales down more than a third year-on-year — Sunday, August 9, 2026
Switch 2 sales soften year-over-year; Xbox signals continued physical disc support amid PS backlash; id Software dev calls out Microsoft post-layoffs; new studio cuts at That's No Moon; Marvel Tokon PC port draws complaints. The week is light on seismic moves but heavy on incremental releases: a handful of new indie and mid‑tier titles are already pulling solid concurrents on Steam, while a few Japanese and Western publishers quietly drop PS5‑era upgrades and Switch ports without much fanfare.
Biggest developments
Xbox reportedly plans to keep supporting physical discs
Digital Foundry says sources have told them that Microsoft is planning to continue support for physical game discs with the aim of prioritizing backward compatibility.
Layoffs hit Crossfire developer That's No Moon
In yet another sweep of layoffs within the gaming space, Crossfire developer That's No Moon has axed an as-yet undetermined number of staff.
Important posts & threads
Marvel Tokon: Fighting Souls hits Mixed reviews on Steam
Marvel Tokon: Fighting Souls stumbled onto Steam with "Mixed" user reviews as players complained of PlayStation account requirements, anti-cheat roadblocks, and other technical issues.
id Software dev blasts Xbox after layoffs
After layoffs ripped through Doom developer id Software in July, id Software lead services programmer Chris Hays has taken aim at Xbox: "They fundamentally don't understand art."
id Software dev on post-layoff reality at Xbox
Id Software Dev Says Xbox Doesn't 'Understand Art' And That After Layoffs It Is 'Impossible' To Make Big Games
Bullish takes
- Xbox commitment to physical media and backward compatibility stands out against broader industry moves away from discs.
- Steam continues to see strong concurrent indie and mid‑tier releases, with multiple titles already pulling tens of thousands of concurrent players within days of launch, suggesting healthy demand for non‑AAA experiences despite industry headwinds.
Critical takes
- Continued studio cuts at id Software and That's No Moon underscore ongoing contraction even after recent releases.
- The broader AAA calendar remains dominated by sequels and reboots, with few genuinely new IPs breaking through; even high‑profile titles like MARVEL Tōkon: Fighting Souls and Ghost Recon Wildlands’ PS5 upgrade lean heavily on established brands rather than innovation.
Why this matters
Hardware sales momentum is already easing for Nintendo's latest while Microsoft navigates the physical-disc fallout; repeated layoffs keep pressure on big-studio output regardless of platform.