Update: According to EB games this article is incorrect.

"According to a transcript sent to the website, EB Australia has $10 million worth of defective Xbox 360's that Microsoft will not take back. EB are quite obviously frustrated by this and apparently they will no longer be stocking the Xbox 360, except for second-hand units."

"There have been threats of EB dropping the Xbox range all together," says the transcript. To recoup their losses, EB is said to be trying to repair the units and sell them second-hand. The transcript also goes on to state that EB is frustrated about losing $85 per console sold since Microsoft introduced the standard three year warranty, as EB is now unable to offer their own. The three year warranty was introduced in response to a lawsuit."

PALNG

Microsoft has meanwhile responded to Kotaku: "We’re not going to comment on this."

EB came out and said that this rumour is (to quote their ceo)...."99% bullshit."

 That's a cool idea. I never thought of that. Something interesting to ponder.

An ignore user, well that would be an interesting addition.

Never!!!  His best one is how he constantly reminds people that Rockstar said that DVD was a limiting factor for GTAIV, but never mentions that they also claimed programming difficulties and memory were limiting factors on PS3.  It will be interesting to see whether he continues this now that its become apparent from recent articles that it was the PS3 that delayed the games release, and not the 360.

Come on kiddos, yes the article has been debunked, no need to revive this thread.

http://www.eurogamer.net/article.php?article_id=91636

 Kiddos? Are you basing that on biological or psycological age?

http://palgn.com.au/article.php?id=10201&title=EB+and+Microsoft+not+feuding