By the usual measures, physical media is a fading format. US consumers spent more than $33 billion on home entertainment in the first half of 2026, and discs accounted for about 1% of it. Yet one disc format is growing: 4K UHD Blu-ray, the premium tier that the Digital Entertainment Group describes as a collectible format.
The split says more about what people want to own than about nostalgia. Below is what the DEG numbers show, why rising streaming prices matter, and who should still buy discs and players.
Trend Signal
35/100 Steady momentum
- Emerging
- Rising
- Mainstream
- Peaking
- Cooling
Disc spending down 6.9 percent in 1H26 while 4K UHD rose 18.6 percent in Q2
DEG data show US physical disc spending fell 6.9% in the first half of 2026, while 4K UHD spending rose 18.6% in the second quarter after a 12% gain in 2025.
Our editorial reading of the cited data, not a forecast. How it is scored
By the numbers
- $361MUS consumer spending on physical discs in 1H26, down 6.9% from 1H25Digital Entertainment Group
- +18.6%Growth in US 4K UHD disc spending, Q2 2026 vs Q2 2025Digital Entertainment Group
- +12%Growth in US 4K UHD disc spending, full-year 2025 vs 2024Digital Entertainment Group
- +10.8%US CPI for purchase, subscription and rental of video, Aug. 2026 vs a year earlierBureau of Labor Statistics
Physical media is now about 1 percent of the market
The Digital Entertainment Group’s first-half 2026 report put total US home entertainment spending at $33.48 billion, up 13.3%. Subscription streaming made up $31.27 billion of that, up 15.1%. Physical product, meaning DVD, Blu-ray and 4K UHD discs sold to consumers, came to $361 million, down 6.9% from $387 million a year earlier.
The decline is slowing, not stopping. Disc spending fell 8.4% in the first quarter of 2026 and 5.2% in the second. In 2025 it dropped less than 10% for the year, while total home entertainment spending rose 17.4% to $62.2 billion on the back of streaming.
| Category | 1H 2025 | 1H 2026 | Change |
|---|---|---|---|
| Physical discs | $387M | $361M | -6.9% |
| Digital purchases (EST) | $1,126M | $1,046M | -7.1% |
| Digital rentals (VOD) | $862M | $799M | -7.4% |
| Subscription streaming, all tiers | $27,175M | $31,274M | +15.1% |
| Total | $29,550M | $33,479M | +13.3% |
Discs are a small, slowly shrinking business, not a vanished one.
The premium format bucking the decline
Within the disc total, the mix is moving up-market. DEG said spending on 4K UHD was flat or up in every quarter of 2025 and finished the year up 12%. In the second quarter of 2026, 4K UHD spending grew 18.6%, lifting total Blu-ray spending 5.5% even as overall disc sales fell 5.2%.
DEG said the “collectible nature” of the first half’s top titles buoyed disc sales, and its list of the period’s best performers included Avatar: Fire and Ash, Project Hail Mary and The Super Mario Galaxy Movie. The box office value of titles released to home formats in the second quarter was 45% higher than a year earlier, which lifted digital purchases too: spending on digital sell-through rose 8.3% in the quarter.
Our read: the buyers still paying for discs are concentrated in the premium format. A shopper who wants a film on the shelf increasingly wants the best available version of it, and 4K UHD is the format behind the only disc growth DEG reports.
Streaming price increases change the math
Streaming dominates spending, and its prices are rising. The BLS consumer price index for purchase, subscription and rental of video was 10.8% higher in August 2026 than a year earlier, after a 0.6% rise in the year to August 2025. Cable, satellite and live streaming TV service rose 3.0% over the same 12 months.
Viewers are also shifting to cheaper plans with ads. DEG reported that spending on hybrid subscription tiers with advertising grew 36.9% in the first half of 2026, to $6.56 billion, against 10.4% growth for ad-free subscriptions. In 2025, hybrid-tier spending grew 60.9%.
Rising subscription prices do not make discs cheap, but they change the comparison for films a household rewatches. A disc is a one-time purchase that does not rotate off a service or depend on keeping a particular subscription tier. For a small library of favorites, that ownership is what buyers are paying for.
Discs now compete with rising subscription bills, not with a flat monthly fee.
Fewer disc drives in the living room
The hardware side is thinning. Sony launched the PS5 in 2020 with an Ultra HD Blu-ray drive on the standard model, but it launched the PS5 Pro on November 7, 2024 as a disc-less console, with the disc drive sold separately. After Sony’s April 2026 US price change, the PS5 Digital Edition lists at $599.99 against $649.99 for the disc model. A console without a drive means buying the add-on drive or a standalone player to watch 4K discs.
Standalone video hardware is not getting cheaper either. The BLS consumer price index for other video equipment rose 4.6% in the year to August 2026 and 10.0% in the year to July.
The screens these discs play on keep getting bigger and brighter. TrendForce expects 24.9 million mini-LED TVs to ship worldwide in 2026, up 87%, and said rising memory costs were pushing TV makers toward larger models. In our read, bigger and brighter screens are where the extra detail and HDR on a 4K disc are easiest to see.
Who should buy discs in 2026
Discs make sense for a household with a 4K TV, a capable sound system and a short list of films it rewatches; for collectors who want a specific release; and for anyone whose favorite titles come and go on streaming services. Buy the 4K edition over standard Blu-ray when the price gap is small, since 4K is the format DEG shows holding up.
Skip discs if you watch a wide range of titles once each, or if your TV and audio setup will not show the difference. Streaming remains the better value for breadth, and ad-supported tiers are the fastest-growing way to pay for it.
For hardware, owners of a disc-less console should price a standalone 4K UHD player against the console’s add-on drive before choosing. A standalone player also keeps movie playback independent of a console you may replace sooner.
What to watch next
- DEG’s third-quarter 2026 report, which will show whether 4K UHD growth held without a blockbuster-heavy slate
- Whether the BLS video purchase and subscription CPI stays near double digits in late-2026 releases
- Holiday 4K UHD box sets and catalog releases, a signal of how much studios keep backing the format
Where to start
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Physical media gear compared on the things that differ
| Product type | Good fit for | Where to look |
|---|---|---|
| 4K UHD Blu-ray player | Fits home theaters with a 4K HDR TV | See listings on AmazonOpens Amazon search results, not one listing: check the model on the product page. |
| Disc drive add-on for disc-less consoles | Fits owners of disc-less consoles | See listings on AmazonOpens Amazon search results, not one listing: check the model on the product page. |
| Blu-ray disc storage cabinet | Fits growing disc collections | See listings on AmazonOpens Amazon search results, not one listing: check the model on the product page. |
Product types that fit the trend described above, not tested models. Check the exact listing before you buy. How we pick them.
4K UHD Blu-ray player
Where to look: Amazon
For a household that buys 4K discs regularly. Confirm that the HDR formats the player supports match your TV.
- Dedicated movie playback
- Keeps discs off the game console
- Another box and remote
- Video hardware prices are rising
Disc drive add-on for disc-less consoles
Where to look: Amazon
Sony sells the PS5 Pro without a drive. The add-on is the simplest route if the console already sits under the TV.
- Reuses the console you own
- One device for games and movies
- Tied to one console family
- May not carry over to a future console
More: Gaming and Entertainment trends and how the Trend Signal is scored.
Sources
- DEG First Half 2026 Digital Media Entertainment Report — Digital Entertainment Group
- DEG Year-End 2025 Digital Media Entertainment Report — Digital Entertainment Group
- CPI: Purchase, subscription, and rental of video, 12-month change — Bureau of Labor Statistics
- CPI: Other video equipment, 12-month change — Bureau of Labor Statistics
- CPI: Cable, satellite, and live streaming television service, 12-month change — Bureau of Labor Statistics
- PlayStation 5 launches in November, starting at $399 for PS5 Digital Edition — PlayStation Blog
- Welcome PlayStation 5 Pro — PlayStation Blog
- New price changes for PS5, PS5 Pro and PlayStation Portal — PlayStation Blog
- Global TV shipments hit a post-pandemic high for the same period in 1Q26 as memory price hikes led to early pull-in of orders — TrendForce
Questions readers ask
Are 4K Blu-ray sales going up?
Yes, within a shrinking disc market. DEG reported US 4K UHD spending up 12% in 2025 and 18.6% in the second quarter of 2026, while total disc spending fell 6.9% in the first half of 2026.
Is physical media dead in 2026?
No, but it is small. DEG put US disc spending at $361 million in the first half of 2026, about 1% of the $33.48 billion consumers spent on home entertainment.
Why are people still buying discs when streaming is available?
DEG pointed to the collectible nature of the top first-half 2026 releases. Streaming costs are also rising: the BLS index for purchase, subscription and rental of video rose 10.8% in the year to August 2026.
Does the PS5 play 4K Blu-ray discs?
The standard PS5 has an Ultra HD Blu-ray drive, per Sony’s 2020 launch announcement. The PS5 Pro launched in November 2024 without a disc drive, which is sold separately.
