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If you enjoy reading this site, you might also want to check out these Think Services sites:
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 GamerBytes (for the latest console digital download news.)
 Worlds In Motion (discussing the business of online worlds.)
 Game Set Watch (the Group's alt.game weblog.) |
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Stock Low For Xbox 360 Hardware As NPD Approaches
by David Jenkins, Staff
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February 14, 2008
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Just days before monthly hardware and software sales data is expected to be released from research firm NPD Group, Microsoft has revealed that shortages of Xbox 360 hardware across the U.S. could have an adverse affect on overall sales for the industry.
Speaking to Reuters, Xbox head of global marketing Jeff Bell commented: “We are really running short of product here in the United States. You could say we misjudged demand.”
Bell admits that Microsoft failed to predict the strength of post Christmas demand for Xbox 360 hardware and as a result many stores have been out of stock. The shortages are already predicted to run into the next month, but should lessen thereafter.
"Retailers have been really upset, they are on allocation. It is a lag I think we're seeing in January and that may continue into February, then as spring ramps up, we'll be able to meet that demand," said Bell.
Newly appointed Xbox boss Don Mattrick echoed many of the same sentiments in a recent podcast with Microsoft blogger Major Nelson, saying, "We'd hoped to have a strong showing in North America this holiday season, and we had a stronger showing than anticipated. So we had some shortages--we weren't able to deliver enough hardware against the demand that was in the market. That's a great problem to have."
"We're addressing that in the coming year," he continued. "It's going to take a little time for us to amp up our manufacturing, but we're really encouraged that people purchased as many games and as many boxes as they did on our platform, and we think that bodes well for the future."
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