Xbox 360 in 'Ample Supply' Now, says Analyst

As part of his latest NPD preview (in advance of this Thursday's data), Lazard Capital Markets analyst Colin Sebastian has noted that although Nintendo's Wii supply continues to be constrained, Microsoft has managed to address its shortage issue. You may recall that last month, Microsoft reported shortages of its Xbox 360 in the U.S., which the company said angered some of its retail partners.

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decapitator3964d ago

Great news for Microsoft. They are looking at a very healthy upcoming sales months unless their competitors responds to their cut.

HarryEtTubMan3964d ago (Edited 3964d ago )

They have been im "Ample supply" in Florida every since they were saying they had shortages (A.K.A strated losing to the PS3 EVEN in the U.S.....which is why we are now seeing pricecuts LMAO)

Microsft is a hoax. But they will still lose. Sony will bring down the EVIL MONOPOLISTIC Empire that is Microsft. Micrsofts goal is not to beat Sony fairly but to win by forming an Alliance with EA... maybe even buying Ea(Peter Moore, notice they released Bungie and Bizarre and now have free'd up a lot of money)

SONY WILL PREVIAL. Take Two didn't take the bait.

Microsft will NEVER wim UNLESS THEY CHEAT and Shut Sony out with Money.... forming some kind of monopoly. That is why Microsft SUCKS RETARDED XBOTS.

Sez 3964d ago (Edited 3964d ago )

what the hell are you talking about.MS can't beat the ps3 fair. are you kidding. so let me get this straight. MS drop the price twice in their first year.oh..NO thats right that was sony.MS gave away 360 with the purchase of a sony HDTV. OH yeah thats right again that was sony. MS sold system fair. it just sony kept getting their @ss served to them thats why they drop the price twice.(in the first year i might add) year sony is reall playing fair and MS is cheating by lowering the price after two years.not 1 year. man reading your comments sometimes.makes me glad i don't have kids.

Kaz Hirai3964d ago

King Kaz smells a rat! Or is it a..............PIG????


Pain3964d ago

What They Really ment to say was:

"Well we got out all those HDDVD drives and put crappy dvd9 drives back in so we good"

They were Never in Short Supply....well Not the new 360's with HDDVD that is....but Warner sure made short work of that... so yea kinda they where kinda just not of the ones they wher Talking about in short supply...

get that?

Silellak3964d ago

As much as people mock the 360's supposed supply problems and claim they never existed, consider this - the supply problems were gradual. It's not like, *poof*, suddenly there weren't enough 360's.

Last summer Microsoft stopped manufacturing the older, super-unreliable 360's and started manufacturing the newer, somewhat more reliable 360's - when the Premiums started having HDMI ports and supposedly the motherboard had 2 heatsinks.

This was a bit before Halo 3 came out, at which point the 360's began selling subtantially more until the end of the year. Is it so hard to believe that between September of 2007 and November of 2008, the demand for Premium and Elites was just slightly higher than the supply, so when December rolled around and the 360 sold better than Microsoft predicted (see: XBox Live issues in January due to too many new subscribers), there was a temporary shortage in January while the systems sold in December were being replaced?

I'm not talking Wii-level shortages, but enough to affect sales a bit. Especially since most people wanted the Premium/Elite unit, even while there were plenty of Arcades wasting space on the shelves.

I think Microsoft quite simply overestimated the demand for the Arcade SKU and producted too many, while not producing quite enough Premiums/Elites to match the demand from September 2007 to January 2008, and eventually this resulted in a temporary, limited-scale shortage that affected sales somewhat for January 2008. I imagine they thought the Arcade would sell well to parents looking for a cheap new game system over Christmas, and they were wrong.

So, while people may say there was no such "shortage" in January, it seems like the pieces were in place for one. Of course, it probably wasn't as drastic as Microsoft wanted people to think, and with Blu-ray's victory, the PS3 may very well have outsold the 360 anyway, but I imagine the numbers would have at least been closer.

kurochi3964d ago (Edited 3964d ago )

but I feel that there is a significant hole in your theory. I find it hard to believe that a huge company like MS would have logistic issues with their flagship console (vs. nintendo doesn't have enough factories for their supply issues while MS have had a 2.5 yr head start). You're trying to tell me that nobody out of the 79,000 employees that MS have employed didn't realize that there might be a supply problem around the time when Halo came out and foresee a supply issue in Jan/Feb '08? If that's the case, the product management/logistic team for the xbox division of MS should really be fired.
I'm sorry, call me a fanboy or whatever, but I don't really buy that explanation for MS.

edit @ below:

I see your point with your quote: "I mean, I also find it hard to believe a vast, multi-billion company like Microsoft would release a console with an atrociously high failure rate, but they did."
It's hard to figure out what MS is trying to do. I guess we'll see the numbers soon in a month or two so that we can truly know how PS3 vs. 360 vs Wii will really turn out this year.

Silellak3964d ago (Edited 3964d ago )

I think the big problem was that they produced too many of the Arcade SKU because they vastly overestimated how much people would want it.

I mean, I also find it hard to believe a vast, multi-billion company like Microsoft would release a console with an atrociously high failure rate, but they did.

A company is only as smart as its upper management. And typically, upper management has little to no idea how the video game market really works. Especially in non-gaming companies like Microsoft.

DiabloRising3964d ago

I just think its funny that they wait until RIGHT before the NPD to mention supply issues, that's all.

Silellak3964d ago

I was under the impression that various people around the intrawebs had been complaining about being unable to find 360's in January (before the NPD numbers or an announcement of shortages) other than the Arcade SKU, but I could be wrong.

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