Xbox 360 Repairs Will Cost Microsoft $1B
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According to NBC News..."one of the costliest warranty repairs in history."
I am glad I picked-up two PS3s. However, it's nice to see that MS is doing the right things and extending the warranty out to three years. What happens to those individuals who purchased an extended warranty through Best Buy, Circuit City, etc. I wonder if they can have their money refunded bacause I doubt their extended warranty will include year 4 or 5 repairs.
I am glad I picked-up two PS3s. However, it's nice to see that MS is doing the right things and extending the warranty out to three years. What happens to those individuals who purchased an extended warranty through Best Buy, Circuit City, etc. I wonder if they can have their money refunded bacause I doubt their extended warranty will include year 4 or 5 repairs.
Microsoft is probably doing this to stave off a class action suit for defective consoles. The repair rate is very high, and were charging money for the repairs. A class action lawyers dream.
Those who purchased extended warranties at stores will probably get nothing to refund them. Personally if I would keep it though, as you can just exchange your broken one for a new one at the store, as opposed to getting a refurb from Microsoft.
I've sent two units to for repairs, the 1st one was not in good cosmetic shape and lasted only 4 months, the one that I received 2 weeks ago is brand new.
All I can say is that regardless of what's going on with the 360s, M$ is taking actions to "fix" the problem, it may be because class actions suits, because Bill Gates is "honest" and with huge heart, but this warranty will give me peace of mind.
Another thing, my 360 gaming experience has been extremely good, specially Live, so I'm my case I have to sent the units to US(I live in PR), that's about $11 for 2 shipments so at least is not a lot of money, so I can't complain there.
All I can say is that regardless of what's going on with the 360s, M$ is taking actions to "fix" the problem, it may be because class actions suits, because Bill Gates is "honest" and with huge heart, but this warranty will give me peace of mind.
Another thing, my 360 gaming experience has been extremely good, specially Live, so I'm my case I have to sent the units to US(I live in PR), that's about $11 for 2 shipments so at least is not a lot of money, so I can't complain there.
1 Billion Dollars!!
Bill Gates or no Bill Gates -- that is alot of donuts!!! This can not be good for M$ bottom line or for future profitablity of the XBOX360 that was supposed to be happening for M$ in '08.
On another note -- extending the waranty is a very good move for the owners of the XBOX360. Still, 33% plus failure is unheard of in the electronics industry where first release is usually between 3 and 5 % and second and third runs see .05% failure as realistic. Their must be a design flaw for this percentage of product to fail.
Based on world wide numbers that would put 3.4 million XBOX360s that have failed. Most companies would bail on an electronic product that had this high a failure rate. M$ must really need for the XBOX360 to survive to the next generation for their business model to go forward. And Bill said he did not want to compete with the PC?
Bill Gates or no Bill Gates -- that is alot of donuts!!! This can not be good for M$ bottom line or for future profitablity of the XBOX360 that was supposed to be happening for M$ in '08. On another note -- extending the waranty is a very good move for the owners of the XBOX360. Still, 33% plus failure is unheard of in the electronics industry where first release is usually between 3 and 5 % and second and third runs see .05% failure as realistic. Their must be a design flaw for this percentage of product to fail.
Based on world wide numbers that would put 3.4 million XBOX360s that have failed. Most companies would bail on an electronic product that had this high a failure rate. M$ must really need for the XBOX360 to survive to the next generation for their business model to go forward. And Bill said he did not want to compete with the PC?
Props to MS for stepping up and owning the problem.
Sony made it's customers sue them for the PS2 problems that they then settled 5 years after the console's launch.
Sony made it's customers sue them for the PS2 problems that they then settled 5 years after the console's launch.
That 33% still hasn't been confirmed, although Peter Moore's statement that "a majority of owners" weren't having any problems could mean up to 49% are by that statement alone in a worst case scenario that could still be factual....
Still, kudos for stepping up and doing something about the problem. Many with multiple failures are probably exacerbating the problem by not doing anything to alleviate the heat (storing in entertainment centers without adequate ventilation, power bricks on carpets, etc.)
Still, kudos for stepping up and doing something about the problem. Many with multiple failures are probably exacerbating the problem by not doing anything to alleviate the heat (storing in entertainment centers without adequate ventilation, power bricks on carpets, etc.)
If you do not think that there were lawyers salivating at the thought of a class action suit against M$ for this problem and that helped propel M$ towards their 3 year warranty then you must be wearing blinders. M$ did not step up unassisted.
