According to insiders Microsoft Australia is not performing as well as their US or European operations. In Europe sales of Xbox have more than doubled with Microsoft claiming that the Xbox 360 is officially the number one next-gen console in Europe, with 42 percent of the market.
In the US Xbox 360 games console beat those of Sony's PlayStation 3 in March after Microsoft addressed earlier supply problems. Microsoft sold 262,000 units of the Xbox 360 in March, according to figures from research firm NPD. Sony sold 257,000 units of the PlayStation 3 console. However both the Xbox 360 and the PlayStation were significantly outsold by Nintendo's Wii console, which sold 721,000 units in March 2008.
Earlier this month Microsoft Australia dumped long time distributor Ingram Micro who only weeks ago set up a brand new division to distribute consumer electronic products such as the Xbox 360.
Ingram Micro who has been left with $30 million dollars worth of Xbox stock to get rid of is also facing the possibility that they will lose the distribution rights for other Microsoft consumer products including keyboards, mouse and accessories.
Instead Microsoft has turned to Synnex to distribute their struggling Xbox console, software and accessories with the distributor expected to take over the $30 million worth of stock in Ingram's warehouse.
