Microsoft to beef up Xbox 360 production

Microsoft has added a third Xbox 360 manufacturing facility in an effort to meet demand

Microsoft will at least double the number of Xbox 360 gaming consoles that it ships to retailers on a weekly basis.

The consoles have been in short supply ever since Microsoft first started shipping the devices in November last year.

Microsoft has achieved the production increase by adding a third manufacturing facility. The vendor had outsourced the production of the gaming devices to Flextronics and Wistron, and has now added Celestica. 

The console comes in two versions: the regular Xbox 360 Game System and the cheaper Xbox 360 Core System.

The latter is considered less desirable because it will not play games designed for first-generation Xbox consoles and lacks the ability to play games online. The limited appeal of the core system is reflected in its higher availability.

Microsoft has also unveiled 16 new games developed for the Xbox 360.

The increased console production follows the news that Sony will not start shipping its next-generation PlayStation 3 console until November this year. 

Although this gives Microsoft even more of a head start in the console war, analyst firm NTP predicted that Sony will still maintain its dominance.