Report: Microsoft scaling down 360 sales in India
Lacklustre sales of the console in the country has led the company to begin withdrawing from the market, according to Money Control India.
The Xbox 360 launched in India on September 25, 2006 with the standard console (now called Premium) selling for 23,990 rupees ($561), and the Core (which came without a hard drive) for 19,990 rupees ($465). For the console's debut, Bollywood heartthrob Akshay Kumar and cricketer Yuvraj Singh were enlisted to feature in an advert promoting the new console.
However, the venture didn't really go as planned, according to a report in Money Control India. From the article, "The company has been facing dismal sales already due to sloppy customer support, high hardware failure, and pirated games. While Microsoft games cost upwards of 2,500 rupees [$58] each, [they are] easily available on the grey market for 100 rupees [$2]."
Also, India is one of the few regions in which the Xbox 360 has not yet been given a price cut, despite up to 20 percent being lopped off of the price in other Asian regions including Hong Kong, South Korea, and Singapore.
The news Web page cites "sources" as confirming that Microsoft has withdrawn from several tier-one cities across India due to disappointing sales, and Microsoft's Entertainment and Devices Division has also withdrawn its marketing budget for the current fiscal year.
It also states that the marketing head of the same Entertainment and Devices division of Microsoft India, Ashim Mathur, is set to leave the company, following on from the departure of country manager Mohit Anand.
Microsoft India denied this, and commented, "The Microsoft Entertainment Devices Division is very much on track with its targeted business plans." Microsoft did not return calls from GameSpot to comment as of press time.
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183 Comments
even if ms stops sales of the 360, it will still be available in the gray market, coz people in india are more price conscious rather than quality conscious. ms needs to take this fact into account, give us a price cut and reduce the prices on the games to a more competitive figure (read : counter-strike costs 499 bucks that is about 12$)
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its cuz most of em like me just import the console :p ...
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This is probably
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Know the power of INDIANS!
38% of doctors in USA are INDIANS.
12% scienists in USA are INDIANS.
36% of NASA scintists are INDIANS.
34% of microsoft employees are INDIANS.
17% of INTEL employees are INDIANS.
28% of IBM employees are INDIANS. Recently TATA bought 'Jaguar' industry, etc ... so now here some guys will start crying that India doesnt have roads for super cars and all that stuffs. Indians are just doing it.
Indians are Great but India is NOT.
Dont worry, we just started late, but wont take much time. In some years, most of the uneducated over here wont find anything to comment on this topic. We the people of India, dont believ in superiority, and I assure you all now that You all wont recieve any cheap comments from us....
And for the XBox I would like to say that ms never took India seriously. They launched their product and thought it will make money for them. We dont get proper services even after paying the original price tag. Games come to India 2-3 weeks after launch dates. While pirated are available before hand. SOME US guys keeps on boasting about themselves for buying original games. Well I tell you, if you all would have the option of buying a game at 30 times less the price you would have definitly gone for it. ITS HUMAN NATURE. And I have seen US people buying games at ebay, when the price gets around the pirated ones.
So... Guys chill, we are the ones who discovered 'zero', the ancient technology. And we will introduce the future technology.
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Piracy is a weak excuse. PC devs have used "piracy" as an excuse for lousy sales. The main reason (for PC games) is the high system requirements, the harddrive hogging and the complicated installation. For XBox 360 the main reason is price (hardware AND software) and FORCED propietary online service for multiplayer and DLC that SHOULD HAVE come with the software. Look at the Madden series: $60 for a game that used to be $40 PLUS microtransactions for content that USED TO BE INCLUDED. You may ultimately be paying $70 - $75 for nothing more than flashy graphics. Americans aren't the only ones noticing that little racket.
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we jus need some time, n then.. boom!!!!
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Not even worth it. I'm sure they make up such a small amount of the gaming market that it's really not worth it. Put the time and effort elsewhere.
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khai411 :
considering BLu-ray writers are already on the market it won't be long till the PS3 has a piracy problem .. it's more down to the fact that there aren't any mod-chips for the PS3 yet .... i'm sure there are people working on it.
personnally i think Microsofts greatest deffence against piracy is the RROD ... who would mod their console knowing that it could blow up at any point and leave them with nothing !!
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Piracy?? Yea, that's what they get for using a DVD drive. It'll be a while b4 bluray game piracy will become rampant.
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I wouldn't have thought there was much of a market in India anyway.
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Dang the machine is way more expensive than US. Anyway, piracy is a big issue. The price is just a justification. I can guarantee you that they are not going to pay for it if the game cost more than 20 bucks. Simple as that.
I know how it is like. When I was back in Taiwan, my argument to my dad to buy a PS for me is because the games are cheap, less than 2 bucks per CD. I didn't feel guilty at all since all of my friends playing pirate PS games. Actually I would feel stupid for buying a non-pirate copy. Besides, with that hardware price, I would rather go online and by illegal import from US or some other cheaper country. $561 for Premium is crazy.
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PS_Family:
"It begins..."
Jesus how can anybody come up with such a sad comment! I laughed at first but then I saw your name was PS_Family and so came to the realization that we have a fanboy on our hands.
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It begins...
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BOTHERED what happens there.
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You would think in a country where 90% of the population doesn't have a tv and most are poor that the console would be cheaper, not much more expensive.
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alot of people here are very un-educated using the word "So" alot is not Intelligent speaking and is overrated too many people use that word. It's annoying. Why can't people use However,Therefore, and Furthermore Instead.
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a lot of people here are very ignorant.
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Most Indian's are not poor, they're probably just cheap. Gaming culture hasn't really developed there yet anyway.
PS: My parent are from India, and I've been there.
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So your comparing Great Britains Colonial holdings in India to MS trying to sell some video games over there?? nice one.
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http://en.wikipedia.org/wiki/Poverty_in_India
thats the problem. but when more of the poor people enter middle class wages then India will be quite a power.a country of billion consumers!!!
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@nintendokid
What do you mean "they're taking our jobs away?" Technically, Microsoft is "giving" them the job. And besides, it's like 20 degrees hotter in India, I guarantee that the failure rate is way higher there, even for the newer consoles that have the new heatsinks.
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To Duck454545, It's a reference to Great Britain's colonial holdings in India. They retreated when they became increasingly unpopular due to the pacifistic movement of Mohandas Gandhi. Likewise, Microsoft, an electronics empire, is retreating from India due to their unpopularity and disinterest in their products.
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So... This really isn't news.
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I shop @ the grey market
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Oh, no....crisis in Bollywood!!!
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What are you referring to Conformist??
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MS lost money on every systems sold until the end of 07, all systems do at launch. I guess its harder to compensate with software sales in a country where piracy is rampant. We have the games and movies we see today because people buy them, no one would invest 100 mil in a game if everyone pirated everything. They would still make em, but spend a lot less on them, no more graphics, no more quality. You get what you pay for in life, that goes for each individual decisions as well as the decisions of an entire community.
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Microsoft India denied this, and commented, "The Microsoft Entertainment Devices Division is very much on track with its targeted business plans."
yeah, just like how they were still behind their hd-dvd drives when they cut the price weeks before hddvd officially died.
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so don't sell a console in india cause they just pirate there software.
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Whenever I call XBL customer support they transfer me to India and make me suffer
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They need to scale back sending customer service jobs over there.
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CHARIZARD1605
Hit the nail right on the head!!!!
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Ya pirated games is a big reason for dismal sales in India.They say to themselves they might as well but games for like 50 cents each for their computer than for any other system.And if they do want a system,it's probably the PS2 for now because it's so easy to pirate games for it as opposed to the 360 because it's more readily modded and all that.I bet the Middle East, East Europe, and India will never get past the PS2 because of this.
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Piracy destroys good games...since good games need big budgets (in contrary to, let say, music).... Don't pirate games....
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I guess we see what happens when piracy is incredibly popular and undeterred. Why sell someone a $400 piece of hardware if they never actually buy the software?
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I think it is due to Inflation in prices are high in India & i guess it is due to piracy of the games & consoles,so MS suffered it.
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at least customer service should be understandable for them, seeing as how they're speaking to someone from their own country.
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"How are they gonna try to sell a console in a place where the money they use is the same as the Legend of Zelda. It was a no win situation from the start. Anyway, who cares. India sucks. It is the dirtiest place in the world. Fact. World Record."
omg! i now see why the rest of the world hates America. i mean, how childish can you get? digging at a country for the name of its currency? you do know that rupees have been the standard currency for Hindu conutries since like the 1500's right? yeah, thats way before some nerd decided to make a game called Zelda.
in any event i guess we'll see how this turns out. it seems the more and more i read, the more and more it sounds like the 360 is flopping everywhere BUT in America and the UK. curious, are 360 sales in India just as dismal as they are in Japan?
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videogaming doesnt have much of a place outside of the current market countries and continents sooo these markets shouldnt really matter.
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What really sucks is that even with the largest wallet upgrade, Link STILL couldn't afford to buy a single game if he lived in India.
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High hardware failures. Sounds like they don't consider that to be perfectly fine. Unlike most North American costumers, apparently.
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sounds like india's got it going on if your into pirate games.
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"The Microsoft Entertainment Devices Division is very much on track with its targeted business plans."
That is the funniest thing I've heard all week.
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