Microsoft admits supplies of Xbox 360 hit by lack of chips

Microsoft admits supplies of Xbox 360 hit by lack of chips

World’s largest software company Microsoft has launched their next generation gaming machine Xbox 360 in three of the world’s largest market. The company has launched the Xbox 360 in North America, Europe, and Japan. However, not everything has been smooth for the company considering the supplies are overwhelmed by the demand in the market leading to online sites like eBay playing a big role in trading of sold units at a premium.

Microsoft admits that the supplies are not very smooth. Microsoft’s CEO Steve Ballmer said in a statement: “In these new consumer electronics devices based on new chips, there’s always the question of what yield will you get out of the manufacturing process of the new chip. We’re getting a little less, but not much less than the yields we expected, and we know that the yields we expected will probably outrun supply. We decided to go ahead and launch rather than wait until post-Christmas and get a few million units out into the hands of users. We’re doing our best.”

And the decision to launch the Xbox 360 simultaneously in all the markets is not going to make things easier for them in any way. Microsoft has of course pointed the blame on the suppliers of the chip. However, the important part is that many consumers who have pre-ordered the gaming machine for Christmas would like to get their units delivered to them before that. And Microsoft is not confirming whether the supplies would get smooth enough by then.