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Forums - Sales Discussion - New OEM Manufacturers to produce 500k Xbox 360s Per Month

BKK2 on 18 March 2008

Asustek subsidiaries reportedly land OEM orders for Xbox 360 consoles

Pegatron Technology and Unihan Technology, two OEM makers spun off from Asustek Computer, have reportedly secured OEM orders for Xbox 360 consoles and will undertake the production at their factories in Suzhou, China, with an initial monthly shipment volume of about 500,000 units, according to industry sources in Taiwan.

Pegatron and Unihan, however, declined to comment on the report.

Wistron originally was the Taiwan-based OEM maker of Xbox 360 consoles, but decided to discontinue the OEM production due to gross margins being too small, the sources pointed out. Despite thin profitability for OEM production of Xbox 360 consoles, Pegatron and Unihan are willing to do so in line with their 2008 revenue goals, the sources indicated. Singapore-based Flextronics International is currently the largest OEM maker globally of Xbox 360 consoles, the sources said.

In addition to the Xbox 360, Pegatron and Unihan are undertaking OEM production of PlayStation 3 consoles for Sony, the sources noted.

Link 

Maybe Wistron deciding to discontinue 360 production is what has caused the recent shortages in NA. With these new OEMs starting production that should end the shortages, and explain why Microsoft are confident there will be plenty of stock for April.



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Mars on 18 March 2008

there been plenty stock just not people that want it.

Did they fix the red ring issues with this new console maker ?



ChichiriMuyo on 18 March 2008

Reports indicate they (probably) fixed RROD with the last hardware update, before Christmas.



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heruamon on 18 March 2008

Nice, and just in time for the price cut as well.



"...You can't kill ideas with a sword, and you can't sink belief structures with a broadside. You defeat them by making them change..."

- From By Schism Rent Asunder

Salamursu on 18 March 2008

Just in time how? There is no mention of when the production starts. If they are just now starting the production, it will take some time for the consoles to be shipped and sold. Also notice that Wistron decided to discontinue the OEM production due to gross margins being too small.



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DarkNight_DS on 18 March 2008

500k a month eh? I wonder what their total capacity is per month.... Surely it has to be close to a million?



Prepare for termination! It is the only logical thing to do, for I am only loyal to Megatron.

BKK2 on 19 March 2008

1m/month = 12m/year, but they only shipped 7m last year, so I think that's too high. I'd guess closer to 700k/month = 8.4m/year.



SpartanFX on 19 March 2008
BKK2 said:
1m/month = 12m/year, but they only shipped 7m last year, so I think that's too high. I'd guess closer to 700k/month = 8.4m/year.

Yea , 1 mil/month  is too much for 360 ,,,I don't think Micrsoft is even aiming for 1 mil/month,,,,they are not stupid ,they are here for business and producing 12 mil xbox means 3-4 mil unsold xbox 360s for this year.