Based on the anecdata I have, this is very false.
My brother used to work tech support for X-Box Live. He said 80% of his calls were for password resets, something anybody could self-service in less time than it takes to find the customer support phone number.
Sure, there were cases where they no longer had access to the original e-mail address on the account, or cases where he was sure someone was trying to social engineer their way into someone else's account by claiming a forgotten password, but generally, he'd just trigger the password reset e-mail and the customer was able to reset their password.
At one point, he tried going off-script to tell people to select the "Forgot Password" option and walk them through the self-service, but he got in trouble for it.