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Microsoft squeezes Xbox 360 component suppliers

by - source: Tom's Hardware

Microsoft is adopting various strategies to be more cost competitive with its Xbox 360 game consoles, with moves including asking for a price reduction from Taiwan-based component makers and working with Lite-On IT for its add-on HD-DVD drive, according to industry sources.

Microsoft has requested its component makers and EMS providers to lower their component quotes by an average of 5-15% on a quarterly basis, said related makers.

More here at DigiTimes.

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