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CD Sales Jump as Gen Z Embraces Retro Tech

Ken Doctor Media analyst FAYFO Media

by Ken Doctor

CD Sales Jump as Gen Z Embraces Retro Tech FAYFO Media © fayfo.com
CD Sales Jump as Gen Z Embraces Retro Tech © fayfo.com

CD sales are climbing again, surprising the music industry. Gen Z is behind a retro tech revival that's changing how people listen to music.

CDs, once considered outdated, are making a comeback in 2026. The Recording Industry Association of America (RIAA) reported CD revenue reached $171.1 million in the first half of the year, up 58.6% from the same period in 2025. Unit sales rose 45.7% to 17.5 million discs. For digital publishers and music platforms, this marks a real shift in how people-especially younger listeners-are choosing to experience music.

This turnaround follows a tough 2025, when both CD sales and revenue dropped. According to the RIAA, revenue fell from $338.9 million in 2024 to $312.4 million in 2025, and units sold slipped from 33.3 million to 29.5 million. The rebound in 2026 reflects a broader retro tech trend. Gen Z is driving demand for physical formats and simpler devices, from "dumbphones" to digital cameras and typewriters. For many, the draw isn’t nostalgia but a desire for more control over how and when they use technology, and a break from algorithm-driven digital platforms.

In the first half of 2026, the overall U.S. recorded music market grew by 6.9% year-over-year to $6.0 billion, with physical formats contributing $731.5 million-a 25.9% increase driven by both CDs and vinyl.

Startups have noticed, launching new landline phones and minimalist mobile devices. Brands like Tin Can, Ooma, Pinwheel, Light, Dumb Co, and Minimal are all targeting people who want fewer notifications and less time on apps. Vintage tech marketplaces such as eBay and Retrospekt are also seeing more Gen Z buyers searching for older gadgets. The RIAA’s numbers only count new CD sales, so the real scale is likely bigger, with used discs selling at thrift stores and garage sales, and many CDs being handed down from Gen X parents to their kids.

The RIAA changed its revenue calculation method in 2025, switching from estimated retail value to wholesale value. This makes direct year-over-year revenue comparisons tricky, but unit sales-unaffected by the change-show the same pattern: a drop in 2025, then a strong recovery in 2026. Vinyl records are also part of this revival, with vinyl revenue up 17.7% in the first half of 2026. Altogether, physical media revenue rose 25.9% to $731.5 million, thanks to both CDs and vinyl, as shown in the RIAA mid-year report.

The RIAA's semiannual report described growth across every major category, with streaming, physical formats, and synchronization revenues all rising. Physical music revenues increased by 25.9% thanks to a 17.7% rise in vinyl and a 58.6% surge in CD sales.

For publishers, labels, and artists, the message is clear: listeners are not as tied to digital platforms as many expected. The renewed interest in physical media and simpler tech is more than a passing trend. Ignoring this shift means missing out on a group that is actively choosing ownership and control over algorithmic feeds. The CD’s return is a sign that audience habits can change quickly, and that the next big thing might look a lot like something from the past.

The RIAA represents the major music labels in the United States and tracks industry sales and revenue. Its annual and semiannual reports are widely used as benchmarks for the music business. Since 2025, the RIAA’s revenue figures for physical media are based on wholesale value, reflecting the price paid by retailers rather than consumers. This change aims to give a clearer view of industry economics as physical and digital sales channels keep evolving.

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