I keep wondering why Microsoft says there is a shortage of Xbox 360's in North America.  From looking at sales data from 2007 and comparing it to 2008 it doesn't look like it's much of a drop in sales.  The period of January and February in 2007 was a nine weeks while in 2008 was 8 weeks of data.  In 2007 the Xbox 360 sold 522K units at a rate of 58K per week and in 2008 has sold 484,000 units at a rate of 60.5K per week.  That puts the 360 sale up from last year on a weekly basis.  Considering the 360 was at a higher price in 2007 this marginal increase in 2008

What's more interesting to see is the increase in sales of the PS3.   In 2007 the PS3 sold 371K units at a rate of 41K per week and in 2008 has sold 549,000 units at a rate of 68.5K per week.  The PS3 was in ample supply but at $599 no one was buying in 2007.  Not too surprisingly a $200 price cut will increase sales about 33%.  What is interesting is that at the $399 price the PS3 is selling better than the Xbox 360 when it was at $399 in 2007, selling about 10K per week more. 

Some think Microsoft is planning a new console release and is claiming the hardware shortage will extend until that unit is ready for release.  This may be but I think Microsoft is planing on claiming hardware storages until they announce their upcoming price cut.  Then once the price cut comes they should see a spike in sales similar to what they are currently seeing in the UK.  Either way I expect all this to talk to be resolved by the time Grand Theft Auto 4 is finally released in the end of April.