Microsoft has to spend $1.15bn for repairing xbox 360’s

Microsoft has admitted that every xbox 360 sold in the past 20 months suffers from a design flaw that could cause the devices to fail. It has sold about 11.8 million consoles in the last 20 months.

Microsft will extend the warranty coverage from one year to three years to compensate for the above device failure, but yet to decide on an 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 an call requests and significant attention from the people ” he said. However Microsoft did not disclose the nature of the problem and when this problem could be striked in xbox 360.

The extended warranty period is limited to hardware failures .  Users of consoles suffering from such problems are entitled to free repairs and shipping. Microsft estimated that the repairs will cost the company $1.15 billion even higher than the expected return for all the existing xbox 360 consoles.

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One Response to “Microsoft has to spend $1.15bn for repairing xbox 360’s”

  1. Bug and flaws are not uncommmon in Microsoft products

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