Apparently, there's been an outbreak of hardware failures for the Xbox 360, but it's not the RROD. It's something different. It's called the E74 error message, and Microsoft is extending it's warranty to cover that error, and even return the money to the people who's Xboxes were fixed or replaced because of the E74 message.

Quoted from Engadget

"While long warranties are a strong selling point in the automotive world -- a sign of confidence from the manufacturer -- in gadget land bonus repair coverage usually comes along with some chronic problem. Most notable was the Xbox 360's iconic RRoD, and now a new failure is continuing that console's reliability black eye: the E74 message. It's said to be caused by a bogus AV connector or graphics chip, and while the message doesn't necessarily result in the same ring of crimson that caused Microsoft to extend the warranty the first time around, the company has announced it will cover E74-afflicted consoles for that same three year period, and will refund any money already spent by those fixing this issue. It's another classy move by Microsoft, but another worrying failure in an already disconcertingly fragile box."

Quoted from Cnet

"First, there was the Red Ring of Death (RRoD) epidemic. It struck thousands of early Xbox 360s and led Microsoft to announce in 2007 that it would repair all afflicted consoles free of charge and offer an extended three-year warranty on those machines.

The latest XBox 360 bug? The "E74 error," which has become enough of problem that Microsoft has had to announce that it will repair all consoles affected by it--and extend its three-year warranty to cover any potential E74 problems.

Like the Red Ring of Death, it's not hard to figure out whether you have an E74 error. Instead of your console displaying three red lights, death comes swiftly in the form of an E74 on-screen error message that appears along with instructions to contact Xbox 360 support.

According to Gamezine.co.uk, the E74 error is "either related to the AV cable, or the more fatal occurrence of a burnt-out scaler chip or even the death of the console's GPU." (Apparently, the error isn't 100 percent fatal, and while there are some suggested fixes up on YouTube, they don't always work--or they work only temporarily).

Here is Microsoft's official statement:

While the majority of Xbox 360 owners continue to have a great experience with their console, we are aware that a very small percentage of our customers have reported receiving an error that displays "E74" on their screen.

After investigating the issue, we have determined that the E74 error message can indicate the general hardware failure that is associated with three-flashing-red-lights error on the console. As a result, we have decided to cover repairs related to the E74 error message under our three-year warranty program for certain general hardware failures that was announced in July 2007.

Microsoft also said it will refund anyone who paid to have an E74 error-afflicted console fixed. If you fall into this group, you should automatically receive a refund within the next 4 to 12 weeks. However, if you don't get your money back, you should go to the Xbox support page before November to get info on how to place a claim.

Gamemagazine notes that for now, the announcement covers only Xbox 360s in the United States. But it expects the warranty and refund to be rolled out around the world soon."

Quoted from Gamezine.co.uk

"Microsoft has extended their three year warranty to E74 errors, further refunding those who have previously had to pay for a repair related to the error.

The Red Rings of Death (RRoD), which represents a general hardware failure, was rumoured to affect 30% of Xbox 360's sold. The controversy led to Microsoft announcing an extended three year warranty in 2006 that would see the company repairing all Xbox 360's affected by RRoD free of charge.

However, the E74 error has been gaining as much attention this year, being called "the new RRoD." Instead of displaying three red lights, the console would display an E74 error on-screen, which is also said to relate to some kind of system failure.

Reportedly the error is either related to the AV cable, or the more fatal occurrence of a burnt out scaler chip or even the death of the console's GPU.

The increased reports of the E74 error has resulted in Microsoft issuing an extended warranty to include the fault:

"While the majority of Xbox 360 owners continue to have a great experience with their console, we are aware that a very small percentage of our customers have reported receiving an error that displays "E74" on their screen," Microsoft's release reads.

"After investigating the issue, we have determined that the E74 error message can indicate the general hardware failure that is associated with three flashing red lights error on the console. As a result, we have decided to cover repairs related to the E74 error message under our three-year warranty program for certain general hardware failures that was announced in July 2007."

As well as an extended three year warranty, within the next 4-12 weeks Microsoft will refund those who have already paid for an E74 repair:

"Microsoft will refund to customers the amount paid for an out of warranty repair due to a general hardware failure associated with the e74 error message. Those customers should automatically receive the refund within 4-12 weeks, and no additional action by customers should be necessary.

If you don't receive a refund by July 1st you must visit www.xbox.com/support before November to find out more information on how to place a claim. Make sure you receive your refund before November 1st, otherwise you just won't get one.

At this moment the announcement only covers Xbox 360's in the US, but we expect the warranty and refund to be rolled out around the world and to the UK specifically. "

So, what do you guys think? Have any of you had this problem?

Sources: Cnet, Gamezine.co.uk, Engadget

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