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Thanks for the Defective Xbox One, Microsoft!

I knew Microsoft's (NASDAQ: MSFT  ) new Xbox One wouldn't be able to read older games. Going with AMD's (NASDAQ: AMD  ) new chips will do that. However, my Xbox One apparently won't read any optical disc. 

Any excitement that I may have had after setting up the Xbox One, putting up with the lengthy software update, and installing a few apps was dashed the moment that I inserted my first game into the drive slot. I was greeted with a disc that didn't go all the way in, followed by a grinding sound as if Steve Ballmer had shrunk down to a mischievous sprite, working a hand crank from inside the box to keep any all optical discs out of my $500 paperweight.

OK, I can still dive into all of the digital goodies the Xbox One provides, including streaming video services and the slick integration with live TV. However, there's no point in getting too engaged with a box and hard drive that I need to get replaced. Here's a video so you can share in my pain

I'm not alone. Twitter is ablaze with the trending #xboxonebroken hashtag from gamers cracking open defective consoles this weekend. It probably isn't doing Microsoft any favors that it's suggesting folks tweet their problems to its @XboxSupport handle on Twitter. It's only making the incompetence go viral. This is a mess, and it seems to go way beyond any hardware hiccups that tend to accompany system rollouts. Sony  (NYSE: SNE  )  must be licking its lips as it positions its cheaper PS4 as the console to buy this critical holiday shopping season.

Naturally the switch to AMD's chip architecture isn't the problem. Sony made the switch to AMD last week -- all three consoles are now fueled by AMD -- and the number of complaints for the PS4 have been minimal and manageable. This is just another hardware blunder for Microsoft's Xbox platform. 

Microsoft just isn't very good at the hardware thing. It hasn't sold enough Surface, Kin, or Zune devices in its history to gauge its competence on those gadgets, but it has never had a problem selling a ton of defective consoles. The Xbox 360 suffered so many failure issues that Microsoft had to take a roughly $1 billion charge to extend the system's warranty.

This wouldn't be so bad if the Xbox was a product line that Microsoft wanted to unload, as reports suggested earlier this month if Stephen Elop is incredulously tapped as its next CEO. However, Microsoft has made it clear that it wants to transform itself from being a software company to one that specializes in devices and services. However, Mr. Softy doesn't do devices well, at all. It's not an area of core competency at the meandering tech giant. It's an area of core incompetency.

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Read/Post Comments (6) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On November 23, 2013, at 3:10 PM, bboy360 wrote:

    Way to put up a video from some guy who has a bunch of 'How to make money on YouTube' videos.

  • Report this Comment On November 23, 2013, at 10:44 PM, ipinsao wrote:

    Wow what a whiner

  • Report this Comment On November 24, 2013, at 1:34 AM, cesium wrote:

    Wow look at that, one person has a defective XBOX therefore the entire launch is plagued with problems. "[T]he number of complaints for the PS4 have been minimal and manageable." If you've read news as of late you'd see that about 1% of PS4s are reported defective. Microsoft is also handling the defective units better by offering advanced replacements, whereas users have reported a 4 week turnaround for getting their PS4s replaced.

  • Report this Comment On November 24, 2013, at 11:57 AM, bluesky64 wrote:


    All is still great for AMD. The returns will increase AMD chip demand and AMD will Triple by Dec 2014.

    So relax. We did well in RAD from the ride of $ 1.15 to $ 5.40 this yr so don't worry be happy.

  • Report this Comment On November 24, 2013, at 4:02 PM, KenLuskin wrote:

    Rick, Everyone sees you has a whining little boy, because your new toy needs to be replaced.

    EVERY new product is going to have a small percentage of defects.

    GROW UP!

    GET a LIFE!

  • Report this Comment On November 24, 2013, at 6:06 PM, nameanking wrote:

    This is why you dont spend $500 on gaming devices. lmmfao nerds will be nerds!

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