Andre Yoskowitz
16 Oct 2008 16:32
Despite their best efforts to replace Xbox 360 consoles that have failed, including upping the warranty for free, Microsoft is now facing a class action lawsuit out of California over the hardware failures.
The suit claims that an "excessive" number of consoles have failed giving users the dreaded "red ring of death." The lawsuit also alleges that Microsoft had concealed the failure rate of the console in order to better compete with the pending launch of the PlayStation 3 and Nintendo Wii in 2006.
The lawsuit cites articles published in credible gaming trade journals each of which show that Microsoft knew in November 2005 that over 50 percent of the initial sales launch Xbox 360 consoles were defective.
California is seeking an order that "Microsoft disgorge all profits attributable to its sale of the Xbox 360, as well as that Microsoft publicly announce and implement a refund program in California."