orcishgamer: I'm glad you got what you wanted, but I'm trying to figure out if sales were well below expectations, and if so, why they fell below expectations (and what said expectations even were). 1 million people getting exactly what they wanted is a failure if their expectations were to sell 5-10 million (is that possible, even for a game like SC2?) and giving said 1 million people prevented the other 4-9 million sales.
According to
vgchartz, sales for SCII ending in May 2012 are at 3.53 million, well short of (external) analyst predictions of
7 million by the end of the 2010. Even "conservative" external estimates were as high as
5 million. That's in spite of the fact that it sold 1.5 million copies in the first week (apparently breaking some first week sales records).
Personally, I was expecting this to happen (as further proof that financial analysts don't know what they're talking about). My own theory is that controversial issues with the gameplay aside, many analysts didn't realize that much like CS, the main driving factor behind StarCraft's high adoption was its entrenched competitive scene, especially in Korea. For those players, there just wasn't any compelling reason to "upgrade" as Red_Avatar pointed out.
Also, Blizzard played the Long Tail with SC1, continuing to provide strong support for it long after the original game was released. It seemed that the analysts just took a superficial look at SC's total units sold and just naturally assumed it would sell more and would continue to sell more after launch.