Microsoft: Every 360 has a design flaw that could lead to failure

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Grandmaster

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Software giant admits there are 11.6 million faulty consoles, which it will have to fix.

Microsoft has admitted that every one of the 11.6 million Xbox 360 consoles sold in the past 19 months suffers from a design flaw that could cause the device to fail.

The firm will extend the warranty coverage from one to three years to compensate consumers, but does not plan to instate a recall or exchange programme.

Microsoft gaming chief Robbie Bach claimed in a conference call with financial analysts that the design issues surfaced recently.

"In the past couple of months we started to see significant increases in repair requests and call requests and significant attention from people," he said.

Microsoft did not disclose the exact nature of the problems, but said that it had made the necessary design changes and that units currently in stock will be upgraded.

The extended warranty period is limited to hardware failures indicated by three flashing red lights on the console. Users of consoles suffering from such problems are entitled to free repairs and shipping.

Microsoft estimated that the repairs will cost the company US$1.05bn to US$1.15bn, spilt evenly between the higher than expected return rates for existing consoles under the one-year warranty, and future returns under the extended warranty period.

http://www.crn.com.au/story.aspx?CIID=85600&src=site-marq
 

Grandmaster

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I'm glad I didn't buy one on launch day like last time!

It looks like all future 360s are now fixed. And instead of issuing a recall, Microsoft has instead chosen the 3 year warranty deal. Good move.
 

Petros

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Holy crap. That's an expensive mistake for MS, and really sucks for early adopters. Glad they're owning up and fixing what they broke, though.
 

Grandmaster

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Wasn't this their first real foray into hardware production? I think they'll learn a lot from this...

I wouldn't want to be J "no period" Allard right now :p
 

paNix3d

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hehe at least its not like apple's iphone whos going to have a fee for every bit of replacing the iphones battery

microsoft -1
apple - 0
 

sindustrial777

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Just got my launch console back from repair. I actually bought it from my friend after a year of his use (whatever that might be) and then it broke after I had it 3 months. Took about 3 weeks round trip, they sent me a different console, but thats ok with me. Everything was free which suprised me since I had no paperwork or proof of purchase.

It was as good of an experience that could have been had, other than not having it at all.
 

Glaanieboy

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The first Xbox 360 I had (about a year after launch, today about 12 months ago), had a problem with the video output (thought it was the videocable at first, so they sent me a new cable, so now I got two :p), I replaced it in my own store (Love working in retail!) and this Xbox has been running perfectly ever since. Both Xbox'es supposed to have this flaw, but until today, I haven't seen this '3/4 Red Ring Of Death'. Guess luck is involved too, but if this one fails, I just go back and replace it again :p
 

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