The Xbox 360 Is Scarce Right Now, Due To 'Viral' Kinect Effect

Microsoft warned this week that getting your hands on a new Xbox 360 right now may be more difficult than normal. You can blame Kinect's eight million sales for part of that, says Microsoft.

This is essentially Microsoft saying "Bad news - we had a totally awesome Christmas. Sorry!" The Xbox maker boasted at CES 2011 last week that it had sold 8 million units of its Kinect camera controller during the holidays, more than the five million it had originally counted on. Xbox 360 sales also topped 50 million, the company said, a milestone that will have repercussions for potential buyers of the console.

Microsoft spokesman David Dennis told Kotaku that to get Xbox 360s on store shelves during the holidays, the company had to dip into its January and February supply. What was planned to be shipped over on a boat and arrive during the first two months of 2011 was instead brought over by plane instead.

But Dennis says that the "viral effect" of the Kinect launch is also to blame. "I think we saw a lot of viral secondary and tertiary sales from people who had seen Kinect in person," Dennis says, at a friend of family member's house, then decided it was time to "jump in."

I asked Dennis if he thought Kinect's holiday sales were a validation for the controller's price point ($US150/$A199).

"Our story hasn't changed there," he said "When we announced the price, we'd done a lot of research. We had a lot of crazy smart people doing focus testing to really hit the sweet spot on that, and we were confident in our price point."

So, don't expect that price tag to go down any time soon.


    My local GAME has had a sold out sticker up for about a week now.

    Price-fixing - the hallmark of the modern videogames industry! And I'm still looking at you Modern Warfare 2...

      Hell, Modern Warfare 1 even.

    Id like to know how much MS actually were making off the Kinect over these first few months

      It cost Microsoft $56US according to kotaku a while back to produce a single kinect unit.

        $500 million in marketing and god knows how much in development cost.

    "a lot of crazy smart people doing focus testing to really hit the sweet spot on that".

    Wow =| This must be the same person writing their "uniquely yours" Windows Phone scripts.

    Correction, they didn't sell 8 million, they shipped 8 million, we dont have the official sales figures yet.

    Im pretty sure this is all just to cause some panic buying.

      lol, got to love sceptics

      Not trying to troll, but if they shipped 8 million and there are shortages for the end user showing sold out at the game stores, they have either been sold or sitting in a warehouse with the Ark of the Covenant.

      *If* someone is trying to create scarcity it follows that the game stores/suppliers doing it?

      Apple is another matter entirely with its "oh sorry our you cant get our ipad, you have to really want it more" logic.

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