The former EA man, who joined Microsoft six months ago, promised that the company was working to address the Xbox 360 hardware shortage issues in North America.

"We'd hoped to have a strong showing in North America this holiday season, and we had a stronger showing than anticipated," he said in the podcast. "So we had some shortages, we weren't able to deliver enough hardware against demand that was in the market.

"That's a great problem to have, we're addressing that in the coming year - it's going to take us a little bit of time to amp up our manufacturing, but we're really encouraged that people purchased as many games and as many boxes as they did on our platform - we think that bodes well for the future."

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