MS still seems to care more about meeting the shipping date than it does about quality
Out of all my 100+ friends on xbox live, I can only recall 2 having the problem (or at least telling people they had the problem). They had older units (early 2007 ish) and MS fixed it within a couple weeks - for another friend who had 2 faulty units they just gave him a new elite and apologized for his problems.
Reliability is not what most people look for when buying a console, so I don't think it hurts their sales terribly; but all of these problems cannot be good for Microsoft's bottom line.
I'm on my second 360, and other than the terrible phone support, their RMA process is decent. But when I bought my 360 I knew that this might happen because of all the other reports of RRoD out in the wild.
I bought one too, and I knew about the issue. PS3 was too expensive for my blood and I prefer XBox games over Wii games. I also knew that MS wasn't being an ass with returns. Mine has held up so far though, so I don't know firsthand.
Xbox live is pretty nice as well; I'm not a huge fan of the "New Xbox Experience", but I can appreciate that they've put a lot of effort into it.
I'm not a fan of the new experience either in one respect: if you're going to force me to choose an avatar (which is annoying) at least make a creator as good as Nintendo's. I find myself unable to make reasonable approximations of anyone I actually know. Also I don't care for where it starts you out now, on that little shopping area. Other than that I find it generally a more efficient navigation system.
Also, Worms on XBL Arcade cost $5 and is my favorite game ever.
The Wii has a lot of potential. I think that the control scheme is second-to-none, and that after Mario Galaxy (which showed just how effective it was) we ought to have seen a proliferation of good third-party add-ons. As it is, Nintendo is carrying the console itself, but it's proven itself fallible. It's still the single best game developer in the world, and its design team is head-and-shoulders above the competition. But the rest of the company isn't quite as top-notch, and it shows, and it unfortunately means Nintendo's ridiculous advantage over Sony and Microsoft is being entirely wasted.
Their online gameplay was half-baked from the start. The day I got my Wii (2 days after it launched) I also bought Madden, only to end up pissed when I realized there was no online connectivity. It took forever for that stuff to actually work, though I will say that now that it's there, and unlike Xbox it's free, it's pretty nice.
If only a better manufacturer entered the hardcore console market. Apple? Google? Anyone? Having a choice of 2 just sucks.
Not to mention, what more could you want in a console? Both seem to be able to provide games all the horsepower they need to do whatever developers can dream up at this point. They're tremendously extensible platforms. The Xbox 360 even uses USB ports, meaning you can develop whatever hardware you want for it with ease, as Rock Band and company have.
I would say that the state of console gaming now has less to do with them than the game developers.
I just wish sony and ms would do gaming, and do it well rather than foray into "taking over the living room", videos, media etc etc.
Agreed about extensibility etc though, the xbox seems to have got that one right. Guitar hero was one reason I bought my xbox.
I still feel slightly dirty having things with "microsoft" written on them in the house though :/
Maybe with the next playstation they'll just go back to making a good games console instead of trying to push bluray.
Shame sega and atari fell so early on though.
Just realized I'm writing in weird disconnected sentences - I'll never make a blogger.
I also occasionally watch the MSNBC in the Media Center part, but man is that an awful experience. It's really buggy at times, and I have an insanely fast internet connection. I can't imagine what it's like for the average user.
At the same time, I agree with the ancestral poster: I wish that Microsoft and Sony held more reverence for gaming. I say this as somebody who wants to be a game developer: right now, gaming is easily the most disregarded artistic medium. Most games are sequels or spin-offs or rip-offs, have been for two generations. There are some games that rise to the top - the Katamari series and Shadow of the Colossus both showed, on a mediocre system, just how hilarious/moving a good game can be - but even most of the top-name games are awful. The writing and character graphics of Fallout 3 made me cringe on quick glance.
Part of it is that games have become a generic commodity. You have the shooter genre, the RPG genre, the sports genre, the racing genre, and games compete to be the best of each every generation, and it's always the same groups competing. You don't have this treatment of a game as an art form.
Unlike movies where you start off in theaters, unlike TV shows which start off as incremental releases, with games the release is the release and that's the only release. Games lose their mysticism an hour after they've launched. It's terribly demeaning of the entire medium, the way things stand right now. And it hurts both the developers and the consumers to have games treated so matter-of-fact. It kills something that ought to be magical.
I've been gunning to cancel cable for about two years now, without blowing a wad to do it (ideally I want to come out ahead within a year); early adopters who don't want to spend a ton should start looking at what they actually use the TV for, consider what they watch and where they can find it, and start running the math. Now if I could just get some sort of decent fiber-based internet...
I don't even bother with Netflix. You can download any new releases, often before you can find the DVDs (especially during Oscar season, when all of those screeners end up leaked) and full seasons of any TV shows. You do usually miss out on the commentary though if you're into that.
You're ignoring Office, SQL Server, Exchange, .NET, and SharePoint, among others. Your list of 3 "flagship" products is quite selective.
Vista - not worth the upgrade (I use Vista on one machine and don't really see a big issue with it either way).
Xbox 360 - Red ring of death problems
Zune - Apparently hit by a date bug