Microsoft will budget another billion<br>for handling Xbox 360 issues

Microsoft won alot in the competition with Sony and Nintendo when Microsoft launched Xbox 360 but the console has been followed by a huge amount of problems. The company is now budgeting $1.05-1.15 billion to clean up the mess with the Xbox 360. Together with its subcontractors Flextronics and Celestica Microsoft is now dealing with the problem. However the EMS providers Flextronics and Celestica are not to blame for the problems since the company revealed that the problem was already in the design stage. "We had some design issues, and it's a combination of factors that led to the problems", Robbie Bach, president of Microsoft's entertainment and devices division told BusinessWeek.