I was watching Fox 5 at 10pm news here in Maryland. It was talking about microsoft new extended 3 year warrenty and that microsoft lost 1 billion dollars in doing so. It also revealed the # of defected consoles which was nearly 2.5 million 360. Will the good news microsoft going in the right direction in helping consumers with the 3 year warrenty plan

I think that was just an estimate based on dividing 1 billion dollars in losses being written off this quarter (which doesn't mean that's what the actual losses were) by the $400 price tag for the Premium.

That number is derived from doing some division of the estimated cost and the full price of a premium system. It's a moot number, because the 3-year warranty covers ALL SYSTEMS, defective or not (Core, Premium, Elite). So, if you bought an Elite on April 29th of this year, it is covered by the new warranty plan until 2010.

We'll never know the number of defective systems. It could be more or less.

they defected? So they quit the ranks of Xbox360s and became PS3s?

then again its Fox 5 news which sucks

This is good. When i bought my brothers their 360 i didn't buy the extended warranty and now I feel better about that, as i was generally worried if it would ring out on them after the 1yr was over.

 "No, I'm not doing anything! what? oh, the black paint? That's nothing, I swear... I'm um... I'm becoming an Elite! yeah thats it..."

I don't read too much into the 2.5 number for a couple of reasons. 1. It was a local Fox station and how would they know? 2. It does sound like they divided 1,000,000,000 by $400 and came out with 2.5 million. So they are assuming MS is replacing all defective 360's with brand new premiums. They are also basically saying that 25% of new 360's are defective and not accounting for repeat consoles. I don't think it's that high. 

There could be hundreds of factors that go into MS's 1 billion loss statement. Like, Shipping, Manpower, parts, storage, CC transaction fees, electricity, etc. I know it sounds dumb but companies factor in even the smallest things when calculating cost.

10% estimated from microsoft.

I think truth is middle this numbers.

so nowdays is wii the most sold of this gen???

console repaired count?

I mean costumer pay one time but get one or more repaired x360...they(microsoft) count one or two/trhee console???

No they don't count the ones in the queue as being sold two or three times.