Kinect will in all likelihood remain in short supply through the holidays due to marketing driven hype.
But to state something along the lines of "if you don't order one this week, you won't get one by Christmas!" is really just feeding into that hype.
Obviously, production lines are open and will remain at capacity through the holidays if MS hopes to meet its revised 5m projection. The hype statement above implies the opposite as though production will be taking a one month break, which would imply that MS already has 5m produced and ready to be shipped.
False assumptions on counts one and two.
What increased demand over the holidays means, is the same exact thing it means every year for a high demand product; be there when the shipments arrive. And there will be shipments continually being delivered to retail through the holidays. That is a given fact.
And I fully agree that the statement "Mattrick went on to claim that he wasn't just cynically trying to spike sales with his prediction." is precisely what he's trying to do.