I saw today on several outlets that Microsoft is extending their free repair policy. This time it is to cover the ever increasing E74 errors on the XBox 360. I think that extending the warranty to cover these failures was the right thing for Microsoft to do. Of course it would have been even better if these issues were worked out during R&D but that horse has left the barn.
I am still wrestling with trading in my 360 for a PS3. Knowing that this issue would be covered improves the chances of keeping the unit but all in all I think I am one more RROD away from just switching back to Sony.