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Microsoft Expands Xbox 360 Warranty: 3 years - Costs MS 1bln USD

post #1 of 45
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Quote:
Microsoft Corp. today announced that it will expand its global Xbox 360 warranty coverage. Any Xbox 360 customer who experiences a general hardware failure indicated by three flashing red lights will now be covered by a three year warranty from date of purchase. All other existing Xbox 360 warranty policies remain in place.
rest of the info can be found below

http://www.xbox-scene.com/xbox1data/...VVwFiIQOkS.php
    
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post #2 of 45
http://gamepolitics.com/2007/07/05/b...dware-failure/

Quote:
we are announcing today a three-year warranty that covers any console that displays a three flashing red lights error message… Microsoft will repair the console free of charge—including shipping—for three years from the console’s purchase date
http://xbox360.ign.com/articles/801/801684p1.html

Quote:
The warranty covers all Xbox 360 consoles. Whether you purchased an Elite, Core or regular Xbox 360 with a hard drive, the new expanded three year warranty holds from the date of purchase. Launch Xbox 360 consoles will now be under warranty from hardware failure until November 2008
Quote:
With reports of massive numbers of hardware failures, one can easily anticipate that this retroactive warranty update will not be cheap. In fact, Microsoft is going to take a $1.05 to $1.15 billion pre-tax charge to earnings for the quarter that ended on June 30, 2007 for anticipated costs that it will incur under the current and new enhanced warranty policies.
Atleast they are providing longer coverage but what about all the people already screwed over by the short warranties?

Point for Microsoft for this one though
post #3 of 45
    
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post #4 of 45
This is what I've been waiting for. Thanks for pointing this out. It's the right thing to do. At least they are trying to improve.
post #5 of 45
trruuueee
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post #6 of 45
Nice find.

Someone at M$ is gettin fired for this
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post #7 of 45
I believe no one will get fired. I believe he or she should be promoted. It will cost Microsoft some money, but it will equate into more sales, I believe. Plus, the money was already reported pre-tax, which saves Microsoft money at the same time.
post #8 of 45
Thread Starter 
grin they were both 17 minutes ago.. thats funny
    
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post #9 of 45
And now more media will want to see the failure rates from Microsoft instead of anecdotal evidence from third parties. I know I would like to.

Of course, the cost of this extended warranty also leads many to believe that there won't be a price cut, at least not a major one. But we will have to wait and see because it's still quite possible.
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post #10 of 45
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its estimated that the failure rate is 33 percent for the 360s
    
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