RROD bill is going to top $1 billion

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So the latest RROD figures are being plastered all over the place at the moment and by the look of it it’s going to cost way more than a billion dollars.

If you remember that is the price that Microsoft had originally put on the RROD issue.

Well The Mirror is now reporting that the cost has gone over the 500 million pound mark while other sites are reporting figures around $990 million and upwards.

With the RROD issue still around, though not as bad as before, I can guarantee you they will break that billion dollar mark.

One things for sure with Microsoft now posting a profit in the Xbox department, and them most probably inflating the replacement costs, they are happy with their choice of rushing to market.

[Thanks Dale for the tip]

Last Updated: July 8, 2008

Gavin Mannion

I for one welcome our future robotic overlords

  • Microsoft has too much money to let a few billion give them sleepless nights… ๐Ÿ˜‰

  • Fox1

    Theres another rumor going around that 360 Elite owners may get another 3 years extended warranty. And that 500 million pounds is for the Elite RROD cost ๐Ÿ˜›

  • So they dropped the price, paid through the nose for RROD replacements and still making a profit. That attachement rate is really paying off.

    Ninty posted profit pretty much from day 1.

    Has Sony posted a profit yet ?

    Milesh Bhana ZA’s last blog post..Call of Duty 2 [XBOX360]

  • ocelot

    They are posting a profit now because they took the $1 billion into account for the previous years financials.

  • Ahh.. so big loss for previous period, profit for this period. So my accounting knowledge is a little rusty but don’t you have to “match” your expenditure for the correct financial period? Surely their auditors would have picked that up.

    Milesh Bhana ZA’s last blog post..Call of Duty 2 [XBOX360]

  • RossIRSA

    Okay I’m glad they are happy with there decision to jump to the market early. But are they thinking about the consumer? Are you going to go out and buy the next gen xbox straight away when it comes out? Or wait a long while to see if anybody else has trouble?

  • abe

    That billion wasnt absorbed by gaming but rather by the greater MS CORP, profit I think not!

  • David

    Unbelievable, Microsoft don’t seem to care About this issue. why can’t they properly investigate the problem AND DARN FIX IT.

  • They did fix it. Very few of the “Falcon” range had issues. They just chose to extend the warranty (to avoid a riot, rather than out of the goodness of their hearts) instead of doing a recall. Probably cost the same.

    Milesh Bhana ZA’s last blog post..Call of Duty 2 [XBOX360]

  • RivaZA

    You are right, I for one will not buy another MS console.Partly because of the 360’s unreliability and party because of no official live support and mostly because they block me from downloading the Gears maps.

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