According to VGC MS just sold through their shipped consoles from last year.

[legend92(3)]

ils411 said:
MS didn't over stuff retail channels. Retailer's did that, not MS. Most likely retailers and distributors banked on the 360 and kinect selling like it did when it launched way back in 2010. MS was only too happy to oblige to their orders.

This. Companies can't simply force retailers to take in and pay for a shit load of consoles because they shipped them. A retialer has to order something before they recieve it.