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360 shortages not because of high demand?

Were Microsoft lying when they put their supply problems down to consumer demand back in February? One inside source seems to think so, suggesting that manufacturing quality of certain aspects of the 360 were questionable.

The insider also confirms that the rumoured 60GB Hard Drive is definitely on the way:

I’ve been told that the supply constraints are due to supply chain issues regarding the quality of ODDs (optical disc drive) and GPUs (graphics chips). It didn’t help that no one in China works for 2 weeks during [the] Chinese New Year [Flextronics and Celestica who assemble 360s are partners in Asia].

And it’s confirmed 100% that the HD (hard drive) is moving to 60g standard. Those configurations are in design verification testing right now. I’d bet that this changeover also contributed to the lack of units. When MS changes major sub-assemblies like this, they try not to over produce the old configurations.

So this is a case of poor planning, supply chain and quality issues restricting production. Not demand out stripping capacity (supply).

Make of this what you will, however bear in mind this is just rumour-mongering for the time being. Obviously Microsoft are unlikely to confirm this, but it’s certainly something to consider as to why there just weren’t (aren’t?) enough 360s to go around. Does there still seem to be a shortage to you?

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30 comments on '360 shortages not because of high demand?'

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Comment by xboxian on 2008-03-18 02:31:24 | Reply

Really! H/W Issues? How can that be I have only sent mine back in twice.

Comment by Talos on 2008-03-18 04:19:34 | Reply

Must be in the major populated areas, every store I go to has at least half a dozen premium SKU’s on the shelves.

Comment by EUP]-[ORIC on 2008-03-18 05:37:08 | Reply

Hardware issues, I thought I was one in a million, each of the 4 times I sent mine in! What a surprise and out of no where this news has come. Whoa that is great investigative work. : )

Comment by BadIronTree on 2008-03-18 07:21:35 | Reply

I have sent mine back in twice..
every 6 months it broke down :(

Comment by stumpa on 2008-03-19 09:51:50 | Reply

same as every 6 months drive gives up on my fourth 360 everyone i know with a 360 has had to0 send it back some of them more than once all the people i know with ps3 (me included ) no probs ever

Comment by CNC2302 on 2008-03-18 11:39:19 | Reply

That’s why I got my extended warranty with BB. BEst thing ever, changed mine about 3 times already..

Comment by FF on 2008-03-18 13:09:29 | Reply

Best thing ever?

You had to pay (how much?) for the priviledge of returning your box to the store instead of mailing it to MS. Considering MS extended their warranty, some would consider your BB plan to be a waste of money.

I do understand that it’s a convientient option for those who live close to a BB store, and for those who don’t want to be without their box for any peiod of time due to a failure. However, IMO, the bottom line is…you’re paying for something you not only shouldn’t need, but also just a slightly better version of something you already have.

I’m not giving BB extra money because I know MS makes an unreliable console. That just doesn’t seem logical to me.

Not now, but at launch, when the manufacture’s original gaurentee was a whopping 90 days long, it was a very, very, very good idea.

Unfortunately, they don’t let you keep your hard drive, so on the fourth trade in, I upgraded and paid the difference for an elite (175W, w00t!) This also started my 3 years over … all in all I’m very glad I bought.

Also, I’ve gotten two free controllers out of the deal. When you would take it in, they’d just ask is everything in the box? I’d say yes, knowing that the controller was sitting on my coffee table. And walk out with a new one. That paid for plan itself.

Comment by EUPHOR1C on 2008-03-18 20:00:18 | Reply

For those of us that bought at lunch getting the store warranty was not an option as for there would be no other systems on hand to exchange.

Comment by mass9 on 2008-03-18 20:02:11 | Reply

mmmm…lunch.
Tuna salad sandwhich for me please.

Comment by Lone Goat on 2008-03-20 14:04:03 | Reply

I never needed to take mine back

That’s why I got mine from Costco. When it started scratching abd breaking Discs afterabout 7 months, I took it back, got a full refund no questions asked, and then bought another one.

Comment by VeteranAssassin on 2008-03-19 07:38:37 | Reply

Costco FTW! I did the same.

But good God, man, how many SKUs will they put out?

Comment by Veritas on 2008-03-18 16:00:06 | Reply

Yes, I can honestly look at this and still say MS makes the better console.

The dissatisfaction with breaking doesn’t trump my years of satisfaction with it.

Besides, having a few months away from it gave me a chance to get things done and play some older Xbox games I’d forgotten about. :P

Comment by nayseorama on 2008-03-18 17:42:28 | Reply

months? i wouldve kicked off, months isnt acceptable. if you scream they go faster, so if it breaks again, scream at them til they say its coming tomorrow. if mine broke and they said months id make sure i got loadsa free shit, even if that meant stealing it all.

Comment by Veritas on 2008-03-19 05:01:23 | Reply

Lol, it wasn’t because -they- took long, it was because I was raising the $99 to send it off. It was out of warranty (although the error wouldn’t have been covered anyways, I don’t think… E74). :(

Comment by Mr Souless on 2008-03-18 16:23:17 | Reply

considering how hard it is to plan for the future and releasing their console first, i think they did pretty well. besides the whole system failures, but when theyre made in china, id expect nothing else. to me all the reasons stated ive heard before and seem legit.

Comment by enxian on 2008-03-18 17:33:00 | Reply

mine sent 4 times buy an elite and is the first time i send. pray to god that is the final attempt

They’ve cut the price of the xbox 360 console enough lately so all thats left is to lower the hardware specs.

Comment by TK Chillin on 2008-03-18 20:13:55 | Reply

All my local stores have plenty.

Comment by stumpa on 2008-03-19 09:56:38 | Reply

ohh and by the way when they send you another console its a second hand recon unit last time mine went wrong it took them a month to send me a recon unit

Comment by UnGreat on 2008-03-19 11:03:02 | Reply

1st Premium RROD switched at shop.
2nd Premium RROD sent to microsoft.
3rd Arcade DVD Drive died refund at shop.
Now using the 2nd console back from MS.

Still with all my problems I still love my 360. It’s got a better selection of games and if something does go wrong cheaper to replace (can just swap out HDD ect to Arcade).

Also the PS3 controller just feels and looks cheap. I will be getting a PS3 for Blu-Ray though. :p

I see Microsoft is making deal with ASUStek Sony’s supplier for PS3 and they want to incorporate a Blu-ray drive wow. Sony has way better exclusives than Microsoft will ever have Gears of War 2 %10 game %90 hype by Microsoft. Who ever believes Microsoft is making profit from the Xbox 360 is an idiot they losing more than gaining just the original Xbox loss them 4 billion wow and the Xbox 360 1 Billion for having a rush console with terrible hardware. And now every Xbox 360 owner is drooling over all this games.
Metal Gear Solid 4: Guns of the Patriots
Gran Turismo: Prolouge
Resistance 2: Rise of Man
Killzone 2
Haze
Uncharted: Drake’s Fortune
Heavenly Sword
Ratchet & Clan Future: Tools of Destruction
SOCOM: U.S. Navy SEALs Confrontation
inFamous
God of War III
Final Fantasy XIII
Warhwak
Unreal Tournament III
Metal Gear Online
LittleBigPlanet
MotorStorm 2
and many more most of them are made by SCEA, Microsoft doesn’t make shit not talented enough only FPS crap from other companies that they gotta pay huge money or die. PLAYSTATION 3 will prove so many facts this year by making Microsoft drop out like Sega because of the PlayStation 2.

Comment by inty2525 on 2008-03-19 15:46:05 | Reply

God another poor soul troll… i feel sorry for ya buddy… all that pent up anger, lol. I can just imagine fists of trolling fury pounding away at the keyboard…

Comment by Veritas on 2008-03-19 17:12:35 | Reply

%10?

Comment by UnGreat on 2008-03-20 11:25:36 | Reply

The sad thing is although i’ll be getting a PS3 I can only see maybe two games on you list I may get.

Thats the problem when it comes to the whole “which has better games” thing, people have different tastes. Personally I love online FPS games and the 360 controller and service is better suited to my needs.

Comment by Lone Goat on 2008-03-20 14:08:32 | Reply

Ok lets look at the past…. Every MGS thats come out… after a year… it starts getting passed around like a cheap whore.. I’d guess the same will happen with MGS4.

Comment by Lone Goat on 2008-03-20 14:22:37 | Reply

and now for the rest of the list
GT4 - every GT I’ve played has sucked… sorry
Resistance 2: Rise of Man - LOL it had better play better!!! the 1st one was a joke!
Killzone 2 - Yes this game does look REALLY good.. if had my dads ps3 i’d buy that game…(jerk only got for the blue-ray)
Haze - halo sucks… any time i hear about a game made to be like halo but better… they always suck
Uncharted: Drake’s Fortune - it was ok, It wasn’t OMG I FEEL ALIVE NOW like sony said.. but ok only rent
Heavenly Sword - God of war good game…. this isn’t god of war….
Ratchet & Clan Future: Tools of Destruction - cool little game…. for kids
SOCOM: U.S. Navy SEALs Confrontation - havn’t seen much on this.. no comment
inFamous - same as SOCOM for me
God of War III - not even out yet….. slow down i thought u had something cool to play on your ps3?
Final Fantasy XIII - not a RPG guy.
Warhwak - OMG OVERRATED!!!! i’d much rather play Battlefield… THE 1ST one
Unreal Tournament III - ummmm this is coming out for 360….. it was only a TIMED exclusive.. sorry
Metal Gear Online - havn’t seen much on this.. no comment
LittleBigPlanet - this game is a very nice game.. idk if i’d get to or not though
MotorStorm 2 - not even out yet… 1st one was ok… i’d hope they change a few things

but in the end… everyone has different tastes. and whats above is only my option.. soo plz if u happen to like the taste of Ass.. plz go post over in Playstatic site.

Thank you

Comment by inty2525 on 2008-03-19 15:53:57 | Reply

btw out of the 17 games u mentioned, 10 are not even out… rage IVAN!!! keep raging!!! haha…

Comment by Ivan_PSP on 2008-03-26 14:25:53 | Reply

You all want this games but you can’t have quality like this on shitty wannabe next gen console. You dying to play this PS3 HD games lol MSG4 alone will sell more than every Xbox 360 exclusive combine.

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