News
Microsoft Sued in California
Class Action Suit For Faulty Hardware
A class action lawsuit has been opened in California against Microsoft and its Xbox 360. The case alleges that an excessive number of consoles had hardware issues when released, resulting in countless “Red Rings of Death.” Furthermore, the suit alleges that Microsoft knew about the hardware issues as early as November 2005 and covered up the failure rate in order to release the console ahead of Nintendo and Sony. If the suit is successful, Microsoft will be forced to surrender all profits attributable to its sale of the Xbox 360 in California during the time in question.
As bad as the 360’s hardware stability record has been, Microsoft has done pretty much everything they could in order to make it up to dissatisfied gamers. They repair/replace the consoles for free, and in 2007, the company extended their manufacturer’s warranty to three years. These measures have cost Microsoft an estimated one billion dollars since the inception of the console. To be honest, I’m kind of torn on this issue. On one hand, if Microsoft knew that their consoles were defective when they shipped them, the should be liable for some sort of compensation. A suit like this, however, could really hurt Microsoft’s gaming division; potentially enough to deter them from joining the next generation’s console war. That would be a shame, as we’ve seen many of the decade’s best games appear exclusively (or at least exclusively for a time) on the Xbox 360. What’s your opinion on this lawsuit?
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i think Microsoft has taken great strides to try and make up for the hardware issues, but it all comes down to the fact that I believe they knew the units were faulty but wanted so badly to be first on the market that they shipped the product anyway. So with that, yes I think they should be held accountable for this as they lied. But this all hinges on if they did know and if it can be proven.
If it is true, this could badly hurt Microsoft as they are already paying out the ass for there hardware problems. Makes me happy that Sony took their time and didn't rush the PS3 to the market, otherwise we might be hearing the same kind of stuff from Sony's camp.
They had it coming. They should have started a real redesign on the 360's interior years ago, and they decided no to do it.
This is exactly why you don't buy consoles when they are first released. We as consumers should realize this by now.
New Tech = faulty hardware and issues.
Be smart about console buying and wait for at least the second generation. Plus you might save some money when they start dropping the prices in later shipments. I got the ring-o-death last month after having my 360 for 2 years and Microsoft was glad to fix it for free.
When you get caught up in the new system releases don't get upset when the hardware has issues. Its the same reason I haven't upgraded to Leopard on my MAC yet. It's just common sense. Im not gonna sue Microsoft over it, Im going to be a smart shopper instead.
smart shopper is one thing, but if microsoft knowingly put out their system with the faults it had, then that is wrong and not the fault of the consumer who purchased the product. That consumer trusted that microsoft had tested the hardware and was releasing it because it was ready to go and had no major hardware issues.
I agree you should research your purchase and I have never bought a new system on launch time, I have usually waited for the reviews and the opinions of my friends to come trickling in, helping me make a better decision. But you cannot say it is the customers fault for buying a system they told was working and ready to go.
I guess you can say people were at fault for putting faith in Microsoft to produce something reliable and working.
Wow... all profits attributable to 360 sales in California?! That'll be a healthy chunk of change. And I wonder how much of that money will end up in the pockets of the people who were actually burned by the faulty hardware as opposed to the lawyers.
I know I'm the exception to the rule, but I have had a Core system since launch, and it still runs like a dream. Little loud, but it works fine.
I guess I look at it from the perspective that if Windows Operating systems don't work well when they're first released then its a safe bet that their 360 consoles wont.
Competition is fierce with Microsoft, Sony, and Nintendo so when Microsoft rushes a system out and we buy it up on opening day, then you really need to make sure you buy a warranty.
Lets say I buy an expensive car. Im not gonna know if the car is faulty or not. I assume it's not, but thats why as a consumer I make sure to protect myself with insurance and warranties. That way when the engine blows up, Im good and covered. The only difference is that Microsoft did those of us who didn't have a warranty anymore a favor by correcting the mistake for free up to 3 years. That doesn't happen often.
Sure they rushed it out knowing that some units were faulty, but they extended the warranty for everyone regardless, and suing them seems pointless to me. Plus think of how many of us would have complained if they pushed the release date back while trying to fix the issue. Us gamers are a fickle bunch, me included haha.
i would rather have a working system without these issues while having to wait for it like 4 more months than all this crap that people have had to deal with
thats exactly what I did when I decided to get the 360. I waited 2 years haha