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Microsoft Plans Deliberate Xbox 360 Shortage

Posted by samzenpus on from the fight-over-it dept.

An anonymous reader writes "To ensure an immediate "sellout" of the Xbox 360 on launch day (therefore getting lots of media buzz about their new console), Microsoft will simply restrict the supply down to a trickle. My favorite part of the article: "In addition to limiting the per-store stock of consoles and having the retailers prepare to prominently note the unit's "sold out" status, Microsoft has allegedly asked Norwegian retailers to sign an agreement that they'll sell out of the consoles on the launch date." Looks like it's not a rumour.

4 of 451 comments (clear)

  1. They're more environmentally friendly by jkind · · Score: 4, Informative

    Pretty cool interview with mechanical engineeer for the 360.. You can almost sense his disgust when talking about the environmental standards the new system has to live up to:
    http://www.xbox.com/en-US/hardware/xbox360/xbox360 theguts.htm

    --
    ~jennifer.k~
    1. Re:They're more environmentally friendly by Bert64 · · Score: 4, Informative

      I like the comment from the microsoft engineer:

      > If you only have one supplier, you have less price negotiation leverage.
      > Multiple suppliers keep the prices competitive. The other thing is that
      > this time we own the IP on the chips. So we can make them at our own foundries.

      So it`s good for microsoft to have multiple suppliers so it keeps the prices they pay competitive, but they build their own products to make it as difficult as possible for other suppliers.
      They are openly benefitting from a competitive marketplace while trying their hardest to take these benefits away from their customers.

      --
      http://spamdecoy.net - free throwaway anonymous email - avoid spam!
  2. Re:Boo Microsoft! by B'Trey · · Score: 3, Informative

    Hype. "It's selling out! It's popular! It's cool! I have to have it." And, mysteriously, just in time for Christmas, the second batch is manufactured and delivered and on the shelves. Better grab it NOW, before it sells out again and your child is the only one on the block who didn't get a spiffy, nifty, brand spanking new Xbox for Christmas!!!

    --

    "The legitimate powers of government extend only to such acts as are injurious to others." Thomas Jefferson.

  3. Re:Deal With It! by Yahweh+Doesn't+Exist · · Score: 3, Informative

    the difference with the iPod is there is no artificial low supply. the day the iPod is announced you can order one at the online store and you know that within a couple of weeks you'll have one. they ship as quickly as they're made. there's no talk about "selling out" - in Steve's talks it's all about the number actually shipped.

    here with the x-box it's a case of "omg get to teh store the first second it opens or you'll nevar evar get teh one!!!!11 evar!!!1". they don't care how many are sold just how quickly the first batch are sold.