Microsoft admitting all 360's are defective?

Saw this on Digg. shrug

[quotedd82c3dfd6]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.[/quotedd82c3dfd6]

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


Also read this, from the comments

http//kotaku.com/gaming/screw-the-women-and-children/robbie-bach-dumped-62-million-in-ms-stocks-277541.php

I also read this earlier on another site I visit, but like others, I've never heard of crn, thus it's not a credible source,and digg isn't half the time on stories such as that. When I see Microsoft step up and say something, I will believe it. My launch 360 still works, along with my Elite. I also do know that the failure rate is probably around 30% or so, but I have a feeling about 10% of that is because of stupid people who put it inside their entertainment center, or on the carpet >_>

- Patrick

Ya... people put their 360s in like a drawer and wonder why it over heats...

Nonetheless, the RROD rate is WAY too high.

[quotedc306f55f2="patrick_7412"]I also read this earlier on another site I visit, but like others, I've never heard of crn, thus it's not a credible source,and digg isn't half the time on stories such as that. When I see Microsoft step up and say something, I will believe it. My launch 360 still works, along with my Elite. I also do know that the failure rate is probably around 30% or so, but I have a feeling about 10% of that is because of stupid people who put it inside their entertainment center, or on the carpet >_>

- Patrick[/quotedc306f55f2]
yeah, only a complete idiot would put their console on carpet roll

[quoteb3ffb0c2f1="zdub08"][quoteb3ffb0c2f1="patrick_7412"]I also read this earlier on another site I visit, but like others, I've never heard of crn, thus it's not a credible source,and digg isn't half the time on stories such as that. When I see Microsoft step up and say something, I will believe it. My launch 360 still works, along with my Elite. I also do know that the failure rate is probably around 30% or so, but I have a feeling about 10% of that is because of stupid people who put it inside their entertainment center, or on the carpet >_>

- Patrick[/quoteb3ffb0c2f1]
yeah, only a complete idiot would put their console on carpet roll[/quoteb3ffb0c2f1]

haha....that's completely unheard of. (I think mine is on the carpet right now... shrug

wii > 360

[quote4366c1bf45="manOFice"]wii > 360[/quote4366c1bf45]

This has to come up in every thread...even though I probably agree with you.

I have a 360 from the launch batch and it still runs great. I keep it upright on my TV stand next to my TV and it gets plenty of ventilation.