Microsoft had the same problems with the Xbox 360 launch, so its mot surprising that they hit a snag with manufacturing problems. But are they using AMD for the CPU or GPU (ATI), or both? Either way, it means that backwards compatibility will be an issue once again, relying on unreliable software emulation instead of built-in hardware.
Good thing Nintendo knows how true backwards compatibility works. The Virtual Console, 3DS, Wii, and now Wii U are all doing it right.
Now where are all the PS4 rumors?!