An insider at Electronic Arts told GameDaily that the Xbox 360 failure rates were around 30-50 percent and not the 3-5 percent Microsoft suggested. This insider also pointed out that Dead Rising seemed to make things much worse. Then, he or she or it said that owning a PLAYSTATION 3 in the long run will be cheaper than an Xbox 360, once you factor in out-of-warranty repair fees. Here is Microsoft's response:

We can't speak directly to the situation at EA and the conditions of use of each one of our consoles and would encourage you to contact them directly. What we can tell you is that the vast majority of Xbox 360 owners are having an outstanding experience with their new systems. Each incident is unique and these customer inquires are being handled on a case-by-case basis. We have not seen anything out of the ordinary in the current return situation that we experience.

I've had my Japanese Xbox 360 since November and haven't had a problem with it whatsoever, so I don't know what the big deal is. I probably just jinxed myself, didn't I? Brian Ashcraft

More Here [GameDaily]