Microsoft drums up its very own Xbox 360 shortage

The word on the street, nay, the word straight from Jeff Bell's mouth, is that the Xbox 360 is experiencing stock shortages, which could hurt sales for January and February. We'd already heard of Elite shortages, but now they seem to be more widespread. "You could say we misjudged demand," said Bell, head of global marketing for Microsoft games. "We're literally out of stock in many stores. We think this will have an impact on our sales." Apparently the 1.3 million Xboxen sold in December didn't leave many sitting around for the rest of winter, so we could be seeing shortages through February, according to Bell -- but they should be able to meet demand by spring. It almost sounds like Microsoft is playing hard to get like a certain other console we know of, but we'll bite our tongue until we can get a tearful confession out of Major Nelson. Or, you know, two straight years of stock scarcity.

[Via Joystiq]

[John @ Feb 14th 2008 9:27AM]

lol

[Nate @ Feb 14th 2008 9:31AM]

What a coincidence Bell: you're short on capacity for XBL as well!

[ScareyJ @ Feb 14th 2008 1:02PM]

I think their shortages were creeping in before December. Even on their Club.Live.Com site, they took it off and then finally put it back on as backordered. Ironically, I did just get mine as they announce this shortage.

[Pete @ Feb 14th 2008 9:32AM]

I have 2 boxen of dough nuts.

[Chebwa @ Feb 14th 2008 9:32AM]

Xboxen. HEH HEH!

And I don't know what the hell they're talking about. I can't swing a dead cat in an electronics store around here (NY) without smashing into an Xbox 360. And lord knows I've tried.

[Andir3.0 @ Feb 14th 2008 11:49AM]

Last time I swung a dead cat around in a store, they asked me to leave.

[jlorich @ Feb 14th 2008 2:12PM]

My roommate has been trying to buy one since December with no luck (in Orlando FL). He even knows the local Best Buy number by heart now from calling so many times. There completely out at every store, Best Buy or other, around here.

[Jack Storm @ Feb 14th 2008 1:43PM]

Where? 2 weeks ago i went into a best buy and a circuit city here in nyc, and the best buy was sold out and checked for me in a few other ny stores and none had, circuit city same thing. only thing they had was the arcade versions but il hold off with those, its a gift anyways :-/

[Chebwa @ Feb 14th 2008 2:43PM]

Well you see, you yourself are saying Arcade editions are easy to find. Microsoft is saying "360s are hard to find." But in reality it's just the *good* 360s. It's like Sony saying PS3s are hard to find because you can't locate a 60GB version in stores anymore. Sure 40GB versions are all over, but those suck. It's not a shortage. It's just the fact that the good models are being scooped up because they are making more of those than the others.

This isn't a shortage, it's pushing a particular model down people's throats and nobody wants to buy in.

[dan2600 @ Feb 14th 2008 9:36AM]

I'm at my shitty job at best buy right now...I'm staring at a pallet of about 50 right now...some how I don't think we are going to run out any time soon

[Maestro @ Feb 14th 2008 10:23AM]

I just got a Best Buy gift card from FiOS for switching. I figured I would go buy a second Xbox with the card (it was for $200..softens the blow of a 349 system). Here in Tampa the Best Buy was completly sold out of Pro's and Elites. All they had were Arcardes. I went to Circuit City and they were out also.

I ended up getting it from Amazon and using the card for other stuff. So while it is not a widespread outage like the Wii, it definetly does exist.

[tom @ Feb 14th 2008 9:38AM]

Geez...my neighborhood bestbuy still have a cart load of xboxen sitting around.

[gozer @ Feb 14th 2008 9:48AM]

all he needs now is to offer us money if we can find one on store shelves....

[bigredmachine @ Feb 14th 2008 9:51AM]

Hmm, or are they just not on shelves to fix the multiple faults that bring that good ol' Red Ring of Death?

[Tarandon @ Feb 14th 2008 10:26AM]

I guess that means you've read this article from the consumerist?

http://consumerist.com/355519/microsoft-has-no-answer-for-their-broken-xbox-live-drm

[Kris @ Feb 14th 2008 9:54AM]

I'd buy one for $99. and by the way, they have them at every store. Shut up, MS.

[teej @ Feb 14th 2008 12:11PM]

You're a cheap piece, and read some comments, they're sold out all over the US.

[Kris @ Feb 14th 2008 12:16PM]

I happen to live in Orange County, so there are more than a few electronics stores. Also, everyone around here who wanted one when they came out could afford to buy one. I'm not cheap, I'd just buy a PS3 over a 360 any day. That is, as long as they were similar prices. That's why I said if the 360 was $99, I'd buy it. I guess when you make an ignorant assumption and reply based on it, the joke's on you.

[Mazz0310 @ Feb 14th 2008 1:03PM]

I searched 4 Gamestops last week and no Xbox's what so ever, but they got them back Monday.

[Ben @ Feb 14th 2008 9:55AM]

dan2600,

Transfer some to the store in Mesquite, TX... My buddy was trying to find an Arcade version w/ the BenQ drive, but the first one he got had the hitachi...doh! Return...and retry

[tunafish @ Feb 14th 2008 9:58AM]

The earlier stories on the xbox360 shortage were specifically about the elite console, not the rest of their lineup. I don't know if that was just left out of this article or what, but I haven't heard about/seen any signs of any shortage of arcades or pros.

The elite shortage, though, is very real... check any online retailer, they're all sold out. All the stores in all the major cities around me are sold out as well. I really wanted one too... :/

[andy @ Feb 14th 2008 11:41AM]

I got the elite two weeks ago after searching the STL, MO area (literally about 50 stores spread across the city) twice a week since new years.

They had the pro the first week, but were immediately sold out the rest of the time.

I don't know what's happened since.


You could find some arcades. Stock went down, but they were still available if you just called around a little bit.

[Ian @ Feb 14th 2008 10:02AM]

Agree with the Engadget story summary. Like most everything else Microsoft does, they stole the shortage idea from Nintendo.

[Ty @ Feb 14th 2008 10:09AM]

This seems a little desperate to me. Lying about shortages to drum up interest? tsk tsk

[stromm @ Feb 15th 2008 6:56AM]

Ok people, just because there are some in your area, doesn't mean that's true everywhere.
Central Ohio is out and has had hardly any since Mid-Jan. Doesn't matter if you go to BestBuy, CircuitCity, Gamestop, etc. I talked with my brother in Dayton and they're in the same boat.

I tend to think the issue is ripping out the HD-DVD drives they had put in just before Warner dropped out of the HD-DVD market :)

[Brent @ Feb 14th 2008 10:16AM]

Sony, where is your artificial shortage? What's that? People will buy your console if Wii and X360 are out of stock? You sly devil!

[kryptonian00 @ Feb 14th 2008 10:21AM]

The Best buy and the Circuit City in manhattan are sold out, I want to upgrade to the elite. all they have are the arcade version.

[tom @ Feb 14th 2008 10:23AM]

You are getting your second xbox360?

[kryptonian00 @ Feb 14th 2008 10:25AM]

I want to upgrade my 360pro to an elite.

[Steffen Jobbs @ Feb 14th 2008 10:18AM]

Why would Microsoft hide X-Boxes in warehouses, just to drive up demand? I also saw a stack of X-Boxes at Best Buy. I don't think there are any X-Box shortages in New York Metro area. However, I don't know which models are in demand.

[MattyG @ Feb 14th 2008 10:19AM]

in their dreams, more like they've had to replace more than they thought due to RROD

[Louis @ Feb 14th 2008 10:22AM]

I actually did run into a shortage, but only of certain SKUs. I was replacing a broken Pro, so I just needed an Arcade, of which they had what seemed like hundreds.

But no Pro or Elite to be found.

[Erick @ Feb 14th 2008 10:22AM]

This is an attempt by M$ to drive up ebay prices of XBox360 auctions. Or something like that... /sarcasm

[kal326 @ Feb 14th 2008 10:23AM]

Thank you captain obvious, in KC its been virtually in possible to find anything other then an arcade model and even those are even hard to find.

[Zeus.:God @ Feb 14th 2008 10:27AM]

Kansas City? I could think of a few places that might have them...

[Maestro @ Feb 14th 2008 10:25AM]

Don't get out much, do you?

[Andy M @ Feb 14th 2008 10:26AM]

This is another classic M$ spin designed to cover up a batched product release IMO.

The litmus test proof in any 'self-inflicted' shortage is in the sales numbers and the Wii conspiracy theory of intentionally suppressing supply simply doesn't hold up. Sales numbers bear that out- a ton are being sold... period.

M$, on the other hand, will see a distinct drop in sales for Jan / Feb, but not for the same reason they'd like you to believe- underestimating such high demand... a nice 'problem' to have.

This is more of a saving face situation of a batched product launch that was killed before it happened and the resulting vacuum creating in the retail channel. The giveaway is the fact that Elites were *NOT* shipped to any of the big box stores since Xmas. People got easily fooled into thinking they couldn't find a console due to such massive demand. That's simply not the case- some of the most high traffic Best Buy / Circuit City locations who get priority stock have literally got nothing for over 6 weeks now.

COME ON M$- come clean and admit the real reason for the artificial shortage of 360's- that you had another sku poised for launch during CES and then hurredly tucked it under the counter when the 'BluRay Wins' announcement came out.

Better to feign a shortage due to underestimating demand than admit to a systemically flawed product launch that never happened, huh? Being able to keep up with the unprecedented demand during Nov (770K) / Dec (1.26M)but not for January?? No one's fooled.

Oh well, you still have GDC next week to redeem yourselves! :)

[Andy M @ Feb 14th 2008 10:33AM]

uh.. meant 'botched', not 'batched'-- lol

[andyg8180 @ Feb 14th 2008 11:04AM]

you seriously have no idea what youre ttalking about... They have to slow down production after Xmas so that they dont have this huge surplus of xbox's just sitting around... It's standard biz practice... why would they force a shortage knowing that people own 1, 2 or even 3 xbox's in their homes... Xbox sells itself, they dont need a fake shortage to get more sales...

[Andy M @ Feb 14th 2008 11:18AM]

@andyg8180

you SERIOUSLY can't read then, cuz my whole point if you read again, is that MS did NOT intentionally stage a shortage. Geesh!

[z3r0D @ Feb 14th 2008 3:54PM]

Couldn't they just repackage the SKU's?

[tom @ Feb 14th 2008 10:32AM]

I wonder if M$ is cooking up a new xbox elite (w/ a dose of BR built-in)???

hahahahaha

[kryptonian00 @ Feb 14th 2008 10:33AM]

HAHA I wish!

[tadmarketing @ Feb 14th 2008 10:35AM]

I have been trying to get an xbox 360 pro for a few weeks now at retail stores. Yet, to my dismay they are completely dry! One store even said that the computer code indicated a short term TERMINATION of production. And that usually indicates "a companies way of altering oversupply".
Seriously guys, I am just trying to play some Halo and COD4, why can't I just give them my money and it all be good?

[gary @ Feb 14th 2008 10:45AM]

so, nintendo/sony does it is cool and ms does it is dumb?

people, i see dumbness in your head. did you take your load off this morning?

[kryptonian00 @ Feb 14th 2008 10:50AM]

Don't you know whenever m$ ever does anything they do it bad and it never works! get with the program! M$ sucks!!! PS3 and all 5 playable games are whats good! and nintendo supermario bros 90 is where the party is at! sheesh man where you been?! btw i was kidding ps3 sucks and nintendo was fun when i was 9, I had a ds for like a month before I got boerd of nintendogs lol

[Rainier @ Feb 14th 2008 10:45AM]

Wii, would like to laugh.

[Brian @ Feb 14th 2008 2:42PM]

I have worked for Circuit City for a while and the Xbox's are just a scarce as the Wii's. It has been like that since the Holidays.

[gary @ Feb 14th 2008 10:57AM]

kryptonian00,

are you one of those apple paid troll? take a look at your posts, you are completely obsessed with ms.

btw you and paul miller make a perfect couple.

[kryptonian00 @ Feb 14th 2008 11:02AM]

LMAO your funny! I love those Idiots that think Apple or M$ pays people to go to websites and bash the other company! you people are sad! You should ask before you assume! I love my XBOX! not once did I even Mention APPLE get your facts together before you ASSume anything! as I type this on my mac book pro! what an idiot!