It clearly has the games.  It has a decent price.  It has developer support.  it has a killer app (gears).  It has two one the biggest games coming out (halo 3 and gta4) this year.  why is it a measely 10 million units shipped, especially since we know ms is using completely bs shipped numbers.  Why isn't it selling well?  We know it should have sold much better, but why not?

Because it doesn't have a Wii-mote.

im serious.  i really cant comprehend it.

Several reasons that I can think of...

1. The majority of it's games are aimed at a specific audience (males age 14 to whatever).

2. It's not at a mass market price point.

3. It has a reputation for breaking down which Microsoft apparently hasn't made enough effort to fix.

Mostly price. Anything above $250 has never sold incredibly well to the mass market. When the premium drops to $250 it will sell well, as will the ps3 at the same price. People seem to be ignorant of what a mass market item is.

It is selling better than its predecessor though. That says a lot.

I think it's failure rate is a factor, I and many people refuse to buy one until this is resloved.

#1 This hurts it more than a lot of the fans for the 360 think, but the staple games are first person shooters and sports games.  I realize there are exceptions, but on a whole there is a certain hardcore demographic that it plays to.

 #2 is also going to be hard.  The Wii sailed in and stole most of the sales that it might have gotten by dropping the price this year.

 #3 is the big one.  I have a lot of friends who are holding off until they solve this problem.  Having nearly a new story a day by a journalist whose console ringed followed by people talking about their terrible experience with customer service does not help the system at all.  I'm just praying mine never gives up the ghost.

Some companies that have a monopoly I can trust. Microsoft isn't one of them, and so I don't want to help them gain another monopoly. If it was any other American company, I probably would of had a system long before the wii was out.

It doesn't have a decent price.... the unit is still 400 bucks (premium) plus another 40 for a controller, premium games are 60 bucks, wifi is $80?...  That's a lot of money for a family on a budget...  Think mainstream and think how much money can the average person spend and not worry about how it strains the household budget.

Also, microsoft's heavy handed business mentaility in everything they do turns a lot of people off.  I sincerely dislike the company's business practices but their device has a game library that is currently second to none so I bought one -- though very reluctantly due to the price and due to my distaste for the way microsoft operates.

As I mentioned in another thread as an example, Microsoft's controller port is unlocked only via a chip making it difficult for third parties (unless they license and pay royalties) to make a controller for the 360.  This is purely a greed thing and limits customer choice because there would be all sorts of cool controllers available if the port was "unlocked".... This also artificially inflates hardware prices.  Because of this policy, for example, no aftermarket company has made an adapter that will plug into the xbox 360 to allow one of the high end "arcade" dance pads to be plugged in hence they have esentially eliminated an entire market.  They sell dance dance revolution software for the system and they sell a "cloth" dance pad, but because of the "locked" controller port, the cool metal dance pads designed to work on every damn system on the market won't work on the 360.  How stupid is that? Very stupid.  Every time they do something smart -- i.e. Viva Pinata to try to become more rounded as a gaming company, they do something phenomenally stupid that drives a whole group bananas....

i can see that. they are worse than sony with proprietary. at least sony lets others into the market, even if they control it.