"Dr. Cleopatra Veloutsou, lecturer in marketing at Glasgow University's Business School, said last night, "If [Microsoft] produces too much stock for Christmas, demand for it is going to fall shortly after ... On a second level, companies want to develop an image that their product is special and therefore customers have to fight for it."

The must-have Christmas present for 2005 has sold out weeks before it even hits shops in the UK.

Microsoft Latest News about Microsoft has admitted the company will struggle to supply large enough numbers of their new Xbox Latest News about Xbox 360 gaming console to meet anticipated demand.

And although the latest gadget is not available in the UK until December 2, advance orders have already outstripped the stock that retailers will get.

Stores have warned shoppers that unless they ordered well in advance, they are unlikely to get one in time for Christmas.

No Console, No Problem

Yesterday, Microsoft in the UK refused to comment on allegations that the shortage was caused by problems with vital components.

UK Xbox director Neil Thompson admitted, "Xbox 360 is the hottest gift this Christmas and will be hard to find -- but we're working hard to ensure there's a regular replenishment of stock to retail."

One games enthusiast said his retailer sent him an electronic notice, saying, "We have been informed by Microsoft that they have not produced enough consoles to satisfy the demand in Europe."

"For this reason, we regret to advise you that we are unable to guarantee the delivery of your preordered console before Christmas."" [more]