Whoops, this wasn't our justify your warranty piece at all. Instead it's me asking Peter Moore why they didn't just jump in with two feet and do a recall instead of an extended warranty. I don't think he liked the question.
Peter Moore on Recall Versus Warranty
2:30 PM on Sun Jul 15 2007
By Noah Robischon
20,559 views
141 comments









Comments
It seems like a wait till it breaks recall.
We justify it because otherwise were going to get a class action lawsuit :P
Hm... It sounds as if they are covering the mayority of the un-affected while attending the unlucky ones who got bricked...
Still, they better think up better manufacturing processes or The Mob will be lynching the Moore.
Is Microsoft repairing returned units with updated components(heatsink/s) or giving you refurbs or brand new units?
No recall required. The vast majority has not experienced the RROD.
From the most reliable source you can get. And I'm being serious. There is no source more reliable than Microsoft itself when it comes to their own products. Because nobody else could know.
Period.
21 seconds*
@evulcow: lol
His body-language says it all really.
Can we please stop with all the "ZOMG RROD XBOX IS DOOOOOM" comments. The PS1 and PS2 were far more prone to malfunctioning, and that didn't mean a damn thing last 2 gens, why such a hassle now?
Good on ya for asking him the question directly. Good on him for taking the question in stride.
Spinned every single xbox has the potential for overheating, the cause of this problem, just depends on the air flow around the xbox, the temp around it, and the use habits of the owner. Though some are deffeintly more likely to go out then others. A recall would only make sense to protect the user. the product does work and has the possiblity to never crash, but if they would take this poblem seriously they would have drastically redsigned the way the air flows throught the xbox and the heat sync used. What happened to that leaked photo of a prototype xbox most thought was a elite that was white with vent holes all over it accept for a bix X?
@Lapcoil: Because everyone gets their turn. Deal with it.
@Lapcoil: Now where is this nonsense coming from? I sure as hell remember the hordes of articles and claims of faulty PS systems in the past, dutch demanding recalls, 2 class action lawsuits, bbc investigation, 33% hardware return rate from independent studies. The PS1 was sturdy piece of hardware, the PS2 had some issues with a certain series of model numbers, but never did the sony systems ever get so much press in under 2 years than MS has had.
@Lapcoil: Because the intarweb and blogs are so popular nowadays.
Furthermore the 360 is currently the highest threat to Sony's marketshare and yeah, people like to bitch about successful projects - hence why Sony got so much hatred lately.
@Kyle81:
Yeah exactly. They never had the major issues that the 360's have. I don't understand why Microsoft won't start releasing 360's with the 65nm processor and a good heatsink......
@evulcow: BS because I know one person who has choose to fix it himself without anything to do with MS becase the warrenty (3 months ago) had run out and he knew how to. I am sure he is not only one who didn't go to Microsoft when it broke I've read several online storys of people who didn't. The point being is that the sytem will break if yo don't take care with it. pesonal experiance i know only two xboxs owned by my friend's and aquatentces that have not bricked and 6 that have. Of the ones that one fixed it himself the other just bought another one and plans to put it in a computer case with a better heat sink/fan system.
bottom line I wont pay for an xbox 3fixme until the release an obvious attempt to fix this overheating problem.
@evulcow: or the fact that they claimed there was no problems to begin with, then after all the bad press, they finally admitted higher than normal defects/returns. Then months later a class action lawsuit was brought against them, about 2 weeks later, the warranty on the 360 was extended to a year. The constant complaints of the system continued on for months with all kinds of articles, tv news coverage, etc, etc... then an independent study comes out claiming to find survey results of 33% return rate at the retail level on 360..... and surprisingly, about a week later, it is announced that they will be extending the warranty to another 3 years.
This is what we call admission of a problem.
The wii has sold far more than the 360 has in the amount of time its been out, and where are all the horror stories about it failing? Rarely do I ever see anyone claiming to have a broken system or failed, same with the PS3, and even past gen systems. But oh it's not uncommon at all to find people on multiple 360's.
You can close your eyes and cover your ears and think everyone is just trolling, but the 360's do appear to have a higher than normal failure rate.
Once they unload their current supplies of older 360s, I'm sure we will see the newer versions on the market. But with the money they already lose selling the damn things, you're sure as hell not going to see them turning perfectly functional units with a *potential* for RROD into landfill.
I said it before, if you are not statisfied by MS pulling a BILLION in cash out to support this issues for a full THREE years, then you simply have it in for Mirosoft. I smell Sony, Apple, and Anti-corporation scum every time this issue comes up.
Follow this logic if you dare: A recall would take much longer and keep people from playing a working box to troubleshoot a problem that may or may not happen. In that time, MS will lose massive marketshare and gamers won't be playing cause their box is sitting at the bottom of a pile that everyone sent in all at once. Niether Microsoft nor the consumer benefits from a massive recall of this magnitude.
The warranty approach to the issue is the most logical to YOU. It's the most convienient for the consumer, BUT its NOT the most economical for MS. MS doesn't get to bundle the boxes together in bulk shipments to decrease cost. They have to deal with EACH individual, substancially raising costs.
So, those of you anti-MS dweebs wanting MS to commit sepleku over this, congratulations...you in effect got what you wanted. This should satisfy you.
Now, shut up about it. I repeat. YOU GOT WHAT YOU WANTED.
a testy Peter Moore.....
@MrSoursop: It really does. From how quickly he started the question, to him looking down for the most part and then remembering he should make eye contact.
I've enjoyed these interviews. I kinda want to see how he acted during the SEGA downfall. Must've stressed the hell out of him.
@McDung: My friend got a brand new one, he says the fans louder, but I haven't played on it yet, so I don't know first hand.
plain, simple, makes sense.
Me thinks either someones overreacting or someone's under reacting
I'm glad people have bitched so much about RRoD because it puts pressure on Microsoft to take care of the issue. Sure, it can get tiresome when people use it as fanboy fodder, but that still makes an issue out of it. I actually regret ever downplaying the issue in my own comments. This is something Microsoft needs to be held accountable for.
@Kyle81: A class action lawsuit was brought against them? Can you link to a source for that? I hadn't heard that.
@Kyle81: Try again. The Dreamcast had a lot of problems, and I mean a lot. And maybe you'll remember back to the Playstation 2 launch. There was so many defective units, they're still being sued over it today.
Yeah, the 360 problems suck, but at least they're trying to sort everything out now. In my opinion, at this point, it's still the only next gen system worth owning. :) (At least until the Wii gets some games later this year)
@Edge of Blade: I haven't got what I want, a Redesign of the case and heatsink. Where the air actually has somewhere to go. Insead all they gave me is a puke green colored one... 3 years isn't long enough when your xbox burns out at 3 years and a week, thus the problem must be fixed at it's source this is just treating the symptoms.
@Frenzy54:
Listen to yourself. What do you think "Consumer Protection" means? Do you think it means protecting your investment? Of course not! It's about protecting your physical safety. This new warranty is Microsoft protecting your (and their) investment. There was never a threat to your safety.
You know how lucky we are to have companies that will protect investments like this? Did you study the industrial revolution? It was hands-off. Companies could do whatever the hell they wanted, consumer protection be damned any way you define it.
There are a lot of people that are looking at this the wrong way...to me they have turned a potential issue (effecting a small % of users) into a complete positive and extending it to everyone.
Halo 3, Better Madden 2008, more games, better online capabilities and now a 3-year warranty...MS has put together a heck of a 2007 if you ask me.
So happy there is no recall imagine being without my 360 for so long!
I don't get people asking for a recall. There don't seem to be any on the xbox forums where you can actually tell people have an xbox & play it (so you know they're not just trolls).
Although I'm sure you're getting alot of people who simply don't like the console making alot of noise about this, that doesn't mean it isn't a real problem. I personally like the 360 so far, have more games for it than any other next-gen console. But I've already had to get it fixed once. The Wii and PS3 have been running fine. And with as much as everyone hates Sony right now, if they were having any type of noticable failure rate, it would be all over. So trying to say its just because people don't like MS or the 360 is not a very good arguement.
What is really scary is that MS stated that the new 3year warranty extension is only for the 3rings of death. But they also stated it covers new 360's on store shelfs now. Well isn't that a punch in the stomach to anyone looking to buy a 360 right now. So if some poor sole's 360 dies in this manor they will have to wait what a 15days to month for it to be replaced. They don't have the balls to recall at least the stock they have in the stores to be repaired or replaced. That is some shitty business practice on the part of MS.
@Edge of Blade:
''I said it before, if you are not statisfied by MS pulling a BILLION in cash out to support this issues for a full THREE years, then you simply have it in for Mirosoft. I smell Sony, Apple, and Anti-corporation scum every time this issue comes up.''
The fact is; Microsoft is just letting defective systems sit on the shelves........they are basically diasters waiting to be bought by the consumer. Why not spend that 1 billion dollars to actually FIX the problem. Thats a much smarter idea.
''Follow this logic if you dare: A recall would take much longer and keep people from playing a working box to troubleshoot a problem that may or may not happen. In that time, MS will lose massive marketshare and gamers won't be playing cause their box is sitting at the bottom of a pile that everyone sent in all at once. Niether Microsoft nor the consumer benefits from a massive recall of this magnitude.''
Thats such flawed logic. The console would fail anyways so you wouldn't be playing anything to begin with. lol and why would you care about how Microsoft does financially? Are you not a gamer? Unless you are a shareholder then i honestly don't see why you would be so concerned about Microsofts financial well-being......unless of course you are a 360 fanboy lol.
@Edge of Blade: I agree 100 percent. People wanted them to do something and they did. People say "well, they just did it to avoid a lawsuit"
No shit sherlock. Were they supposed to wait like Sony did? Are people really implying that is a freaking option?
@asianmacker: Do you really think they'd be spending so much money on this if they HADN'T fixed the problems? Infact, they said in the very first interview about this, that they had located the problems and are doing something about them.
@Frenzy54:
You aren't listening. Therefore, you will not listen. But, against my better judgement, let me try again.
They cannot cut it off at the source, like you say. It will be worse for customers if they do. If they issue a massive recall today, virtually ALL the 360's in the world will get sent in AT ONCE tomorrow. How long do you think it will take them to get them all back?
It would cost less for MS to do it that way, but it would make sure that ALL the 360s aren't being played for a whole month. Do you want that?
You can whine and complain all you want for a gloom and doom "recall", but it makes NO SENSE to order a recall under this situation!
I'm sorry. You know next to nothing about the logistics and reprecusions of what you are asking.
It's pretty simple. MS is taking a loss of more than a billion dollars on their new warranty plan.
Now what does that tell? Thats one big ole admittance to the problems they are having, as no company would simply toss away more than a billion dollars simply to make the consumers feel safe about their purchase. They are admitting the problem, and from that posted conference of MS about the extended warranty days back, MS is admitting they are having higher than normal problems with the hardware.
The warranty is cool and all...Don't get me wrong.
Though, personally, I prefer not needing the warranty and having a still working system. Anyone know how long it takes to get your system back when you have to send it in? My friends 360 is having some problems (his third 360) and he wants to know. Thanks.
@magiczero: You haven't had one fail, have you? Fifteen days to a month is unacceptable, and if you've had to wait that long you should bitch at MS until they throw you some freebies.
I've had one RRoD and got my 360 back in precisely one week.
@asianmacker: "The console would fail anyways so you wouldn't be playing anything to begin with."
The failure rate is not 100%. Although those consoles on store shelves do have a chance of failing, they aren't going to fail as soon as you take them out of the box. If Microsoft has in fact fixed the problem, then your next RRoD should be your last, and you will probably be without a 360 for about a week and a half. A recall would take longer than that and pretty much ruin public perception of the build quality. A recall is much more noticeable to the public than educated guessing at failure rates on the internet.
@asianmacker:
Because it would cost 2 billion (I'm estimating) to do that and there would be no 360s on shelves for buyers. They are supporting the issue. What more could you ask.
Oh, I know. You want to see Microsoft gut themselves over this issue because you are a MS Hateboy.
I don't see how my logic is flawed...especially next your yours. I can say it over and over again why this approach makes more sense than that approach, but arguing with an ignorant mob isn't something I planned for today.
@Frenzy54:
Your penchant for the dramatic and clouding the issue. You have established that you just want to see blood rather than seeing the issue fixed or a plan to have the issue fixed. It's there. You are just too blind to see it.
I got the RROD yesterday :(
@Frenzy54: Play elsewhere.
@Kyle81: I'm not calling you a troll or whatever, but it's not hard to imagine that the 360 appears like it's flawed. Simply because you read it on the intarweb so frequently. Now how does that change anything according to industry standard failure rates? Right, it doesn't. Because these values are inaccurate, unconfirmed, out of relation, and unreliable. Deal with it.
Anyway, you seem to still babble about how Microsoft was so bad and released a faulty console, and can't even acknowledge the 3-years-warranty gift, so I'm gonna have to tag you "fanboy" for the rest of the time.
You base your opinion on blog and forum posts. You've seen 10 pages of complaints about the RROD which don't mean a thing as there are >10million units shipped. Ignorance.
Sony, Microsoft, Nintendo, it doesn't matter, every company owes it to the consumers to put out a quality product. Even though there may be just a 33% failure rate (or so we're told), the Microsoft consumer still essentially has to buy the warranty just to keep themselves from being screwed while Nintendo and Sony consumers are free to choose whether or not they want a warranty based on the solidarity of their product. I personally didn't buy one for my PS3 because it wasn't necessary. The warranty extension is just a way to buy time. Unless they plan on releasing a new system in three years, you still may as well buy an extra warranty after your first one runs out. I'm not saying waranties aren't a good thing, they are, but I think MS is touting that banner way too much instead of tackling the problem head on. Every time a MS exec is interviewed they make it sound like they'll let the problem phase itself out.
@Edge of Blade:
Again, you are worried about Microsofts financial well being for no apparent reason. I honestly don't give a damn if it costs Microsoft another billion dollars. Thats something Bill should be worrying about not me, the average joe video gamer. The beef i have is that they are supporting this issue and going about it the WRONG way. Like i said, there are defective consoles on the shelves that will be bought. This is just counter-productive because it wastes the consumers time by making them having to send it in. This is why I've been holding off getting a Elite even though I really want one. I don't care if a recall would force 360's off the shelves for a few months; I can wait. Its only a video game console.......
And no, I don't really hate Microsoft. I don't have any reason to seeing as how I want to buy one to play games like Bioshock and Blue Dragon.
I don't think its an issue of being anti-Microsoft......its just frustrated consumers who want to vent. And this is good because the more people who complain the bigger the unified voice will be heard by Microsoft to urge them to fix the problem faster. So you can keep being paranoid and think that everyone here is out to get Microsoft but this is far from the truth.
My point is; a warranty is great, but solving the ROOT of the problem is even better.
Sweet and to the point. He's right, there's no need for a recall. Besides, they couldn't handle one. It's not a specific batch of consoles that has problems, it's a random occurence, and it's far from every console having a problem. So how would they issue a recall without recalling every single 360 sold, regardless of whether or not it had errors?
@alucard_0007: If all they've done is extend the warranty, they're digging their own grave. Continually repairing 360s at the current rate with the extended warranty would cost Microsoft a fortune and be an utterly unsound business plan.
Hardware revisions are coming up. You really don't think they've taken the opportunity to dramatically increase the reliability of the product?
@alucard_0007:
Respectfully, I think this IS tackling the problem head on. It's just not tackling the issue head on without thinking first. A billion bucks isn't the only thing they are sinking into this warranty. MS is also writing off all the repair costs up to now as unrecoverable. How much do you think they spent of repairs to date? Since that didn't fix the problem reliably, they aren't going to get that back.
This is a customer-centric action, if people will just believe that MS is capable of doing that. They are human after all...