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Microsoft to reduce Xbox launch units?

Shahed Ahmed, GameSpot US GameSpot

Published: 21 Sep 2001 11:24 BST

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Microsoft is currently withholding comment regarding specific hardware shipment numbers for its Xbox console, but several sources indicate that the launch-day ship numbers could be significantly lower than expected. According to retail sources and buyers, Microsoft has told several specialty retailers to stop the preorder of Xbox consoles and to expect launch shipments to fall short of the expected 600,000 to 800,000 units. Adding further fuel to the speculation, during a Take-Two Interactive conference call on Wednesday, company president Paul Eibeler said that he had heard that the Microsoft would release fewer units of the Xbox console at launch. When asked specifically whether the launch would be reduced to the rumored 300,000 units, Eibeler said that estimate is "as good as any on the market".

For its part, Microsoft has not released any official comment confirming or denying the reports. In a recent interview with GameSpot.com, Ed Fries, vice president of Microsoft's games division, said that the manufacturing of the Xbox hardware is set to begin shortly at its plant in Mexico. Fries added that once production begins, Microsoft will have the capability to manufacture 150,000 units a week from that plant alone. When contacted, a representative for the company said that it is currently in meetings assessing the exact quantities on launch date and will have those numbers available at a later date.

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