197
rate

Microsoft: Losing Money and Falling Short

July 05, 2007 in News comments 14

Whilst suffering a $1.05 billion blow to their annual profits by extending the warranty on the XBOX 360's to three years with regards to the infamous Three Red Lights problem, it seems they are about to suffer another blow.

This time it's with respect to their sales target. Hoping to have sold 12 million consoles by June 30th, they have fallen short by 400,00 consoles, only reaching over 11.6 million units. However the units of consoles sold itself, is quite high, and appears to be ahead of both the PS3 and the Wii.

Krunal via news.com.com »
Favourite this article Add source
| More
Report!
News story attached to:

Comments

Register as a member to subscribe comments.
  • 0
    Final Blade Jul 5, 07
    and how this bad then. Sounds good to me. Where is the description
  • 1
    bbb7002004* Jul 5, 07
    I'm not sure you can really say Xbox360 is significantly ahead of PS3 or Wii, considering it was out for nearly a whole year without competition.
    • 1
      Cloud Strife7 Jul 6, 07
      The Wii and PS3 are catching up really quickly. PS3 has much netter graphics and the Wii has unique gameplay. The Xbox360 kind of does those things but not as well as the PS3 or Wii.
  • 0
    FRoGBuster Jul 5, 07
    lesson: do not rush development. instead, make a console that doesn't break. Plus, if you have a problem, admit it and fix it. Don't deny it and sound like an untrustworthy company.
    • 0
      Final Blade Jul 5, 07
      Oh but sir what about that new 3 year plan. Surely you there not bad company right lol
      • -1
        FRoGBuster Jul 6, 07
        they still are not upfront about the defect rates. Constantly avoiding the issue, while quietly trying to appease its frustrated players with the new Customer Service plan and 3 yr warranty. Still doesn't change the fact that Microsoft is not just coming out to say "Yo, Dudes, Our Bad. Seriously, We F'kc'kd up. Wait while we make new Boxes with better designs. Then we'll replace all your broken boxes." Instead of continuing to recycle ones that keep breaking.
        Just Sit down and think how to make a new line that doesn't crap out. THEN you re-distribute. RECALL all the ones that you haven't improved. That's what responsible companies do, not pretend like there's no problem while providing some extra services to hope that people forget.
        • 0
          Final Blade Jul 6, 07
          I know i was being sarcastic in that post. But i remember them saying in 2006 that there boxes had a tendency to fail. I dont remember the site.
    • 1
      Kokoro Jul 5, 07
      Yeah, it's amazing how many of these things keep getting taken back.
  • -1
    JJBDude Jul 6, 07
    If I remember correctly when I heard about this a long time ago, aiming for 12 million units to be sold was a big gamble, pushing themselves to the limits. So for them to only come short by 400,000 units really isn't too bad, not much of a blow to be honest.
  • 1
    Cruxis Mana Jul 6, 07
    400,000 units isn't really that many, if you think that they've manages to sell 11.6 million already.
    The 360 is only really in the lead because it got a head start on its competitors and the Wii sales will catch up in a few weeks time ^^

    ... As for the warranty, its there own fault really ...
  • 1
    Infinite Jul 6, 07
    They might have fallen short of their goal but they've still done a good job. They've sold over 11.6 million XBOX 360s. That's a lot of XBOX 360's. So they really shouldn't be ashamed of not reaching their goal.
  • 0
    tidus04 Jul 6, 07
    Applauds, but has it got so high in sales due to the amount of returned consoles they have received ?

    But never the less it is good to hear they nearly have got to there targets and it wasn't really that far behind now was it ^^
    • 1
      Existenz Jul 6, 07
      Wouldn't surprise me if they count every console returned and replaced as a new console sold.
  • 0
    Storm Jul 6, 07
    I'm really pissed off at M$'s service...outside of America. And it's a shame that they have so many faulty consoles, damn that RRoD. Besides all that, I wouldn't trade my 360 for a PS3 or a Wii right now, because, like it or not, the 360 is on top, with games such as Mass Effect, Halo 3 (though I hate it), and BioShock heading our way, what's there to complain about?

This news story is archived and is closed to comments now.