Actually, M$ supply shortages looks like it actually has some merit to it:
http://dubiousquality.blogspot.com/2008/04/console-post-of-week.html
Wistron is reported to have phased out of Xbox 360 production and has ended its six year cooperation with Microsoft, according to market sources.
With Microsoft dropping its selling price of the Xbox 360 console earlier this year, it tried to push the profit pressure onto its three OEMs, Wistron (who accounted for 40% of shipments), Flextronics (40%) and Celestica (20%), by asking them to lower their OEM prices.
Wistron decided to stop taking Xbox 360 orders at the end of the third quarter after trying to negotiate with Microsoft over a quarter long period.
Flextronics has taken over the majority of the Xbox 360 orders, increasing its OEM production to over 60% of total shipments, while Celestica still remains as a second OEM.
