Game On: Switch 2 debuts as fastest-selling console ever in U.S., says Circana

“Game On” is The Fly’s weekly recap of the stories powering up or beating down video game stocks.

NEW RELEASES: This week’s most notable new release is the Early Access version of Microsoft’s survival adventure game “Grounded 2,” which launches exclusively for PC and Xbox Series X/S on July 29.

CIRCANA: Circana analyst Mat Piscatella (NTDOY) debuted as the fastest selling video game hardware device in U.S. history, while consumer spending in both video game hardware and accessories reached new all-time June records. Overall, June hardware spending increased by 249% when compared to a year ago, to $978M. This is a record high for hardware spending in a June month, surpassing the $608M reached in June 2008. The Switch 2 sold 1.6M units in June, the highest launch month unit sales for video game hardware in U.S. history. The previous high was the 1.1M units of PlayStation 4 (SONY) sold during November 2013. Nintendo Switch 2 was June’s best-selling video game hardware in both units and dollars, while PlayStation 5 remained the best-seller year-to-date across both measures. June video game content spending grew by 6% when compared to a year ago, to $4.4B. The increase was driven by a 19% gain in Console content, primarily from the launch of Nintendo Switch 2.

On the software side, Piscatella (NCBDY) “Elden Ring Nightreign” repeated as the best-selling premium video game of the month for June in the U.S., while Sony-published “Death Stranding 2: On the Beach” ranked second. Physical sales of Nintendo Switch 2 launch game “Mario Kart World placed third, though the analyst noted that sales of software bundled with hardware are not included in the best-selling title charts. 82% of Nintendo Switch 2 buyers during June also acquired “Mario Kart World” either via a physical new game sale or as part of the Nintendo Switch 2 + Mario Kart World Bundle. Sony-published “Stellar Blade” jumped from 185th a month ago to 5th on the June best-selling games chart following its PC release, while CD Projekt’s (OTGLY) “Cyberpunk 2077” ranked 18th in June after placing 427th a month ago with its Nintendo Switch 2 debut. Other top sellers for the month, according to Circana, were Microsoft’s “Call of Duty: Black Ops 6” and “Forza Horizon 5,” Sony’s “MLB: The Show 25,” Take-Two’s (TTWO) “Grand Theft Auto V,” and Electronic Arts’ (EA) “Split Fiction” and “EA Sports FC 25.”

BANDAI NAMCO: Last week, Bandai Namco and Sony announced the signing of a strategic business alliance agreement. Sony also agreed with existing shareholders of Bandai Namco to acquire 16M Bandai Namco shares held by those shareholders for approximately JPY 68B. With the acquisition of these shares, Sony will become a shareholder holding approximately 2.5% of the total issued shares of Bandai Namco. Through this business alliance and Sony’s investment in Bandai Namco, as two of the leading Japanese entertainment companies, Bandai Namco and Sony will focus on expanding the fan community for IP such as anime and manga around the world and strengthening engagement, particularly in the anime field where rapid market growth is anticipated, while merging their strengths to create new and emotionally moving experiences for fans, and as a result of these efforts maximize the value of IP, the companies said.

Around the same time as the announcement, Bandai Namco said that its latest game “Elden Ring Nightreign,” a spinoff of 2022 title “Elden Ring,” has shipped over 5M units worldwide since its late May 2025 release. Meanwhile, “Elden Ring: Shadow of the Erdtree,” a downloadable expansion for the original “Elden Ring” that released last year, has surpassed 10M units sold since it launched.

Click here to check out recent Media Buzz Sentiment on Bandai Namco as measured by TipRanks.

MNKY INTERVIEW: Earlier this month, The Fly conducted an exclusive interview with Ben Hickling, founder and lead developer at U.K.-based indie development studio MNKY, whose most notable recent work is Early Access PC title “Ex-Zodiac,” an arcade flight shooter that has drawn comparisons to Nintendo’s “Star Fox” franchise. When asked about how the game has fared in Early Access, which allows players to buy a version of the game while it’s still in development and get free updates, Hickling said the the feedback from players has been “way more positive” than he expected, and that the game is just a few levels away from a full release.

“The reactions have been really good for getting regular feedback,” he told The Fly. “It’s definitely shaped things, as people definitely point out things that are an annoyance. If one person says it, you might be able to ignore it, but if multiple people all say the same thing multiple times, you realize that’s an area you need to focus on. It’s been really good for ironing out creases in the game. Even though Early Access has its flaws, it’s been really useful in shaping the final product and making it as good as it can be.”

Speaking on which kinds of game studios should rely on Early Access as a model, the developer said that some studios are “probably abusing the model,” as it’s “best suited for small developers” who can’t afford to hold off getting paid until the project is finished. “When these larger companies start doing it, I feel like there’s a risk that if shareholders don’t think it’s bringing in enough money in its current state, they (might not finish it),” he added. “I think it can be used for more, but I think it’s better for smaller companies that can’t scrape enough money to fund it all in one go.”

While “Ex-Zodiac” is only available on PC at the moment, Hickling said the Nintendo Switch and Switch 2 are “definitely” consoles he’d like to develop for, whether it be a Switch 1 game that’s compatible with Switch 2 or a native Switch 2 title. When asked about other consoles, however, he said he hasn’t gotten much interest in having the game on those platforms. “I very rarely get people asking if it’s going to be on Xbox or PlayStation to be honest,” Hickling told The Fly. “We’ll have to see how it goes, but most people are asking for a Switch version. Everything else will be a future decision.”

MORE VIDEO GAME NEWS:

• Nintendo Switch 2 game “Donkey Kong Bananza” sold 128,000 units in Japan for the week of July 14-20, Famitsu says
• Xbox game “Forza Horizon 5” is the top-selling new PlayStation 5 release in 2025 so far, according to Alinea Analytics
• Amazon (AMZN) is working on a TV series based on Bethesda’s “Wolfenstein” games, Variety reports
• Wells Fargo initiated coverage of Take-Two with an Overweight rating but started Electronic Arts with an Equal Weight rating