twitter's Journal: Xbox360 and Zune Cost Microsoft Billions.

The Register reports poor performance from Xbox and Zune:

Microsoft is taking a $1bn hit to fix Xbox 360s, conceding residual hardware faults in its games console are causing users frustration and an "unacceptable number of repairs." ... Additionally, Microsoft admitted the Xbox 360 has failed to hit its planned target of 12 million units sold by the end of June ... The 12 million number had already been cut in January from between 13 million and 15 million. ... Microsoft also passed its self-imposed deadline for its latest consumer venture, the Zune music player. Microsoft's lack of formal announcement suggests it failed in its target of one million Zunes sold by the end of June - the close of Microsoft's fiscal year.

To top it off, Xbox customer service is poor.

Why is it that

[Marxist Hacker 42]

Poor performance is in terms of sales rather than technology?