My newest 360 died last week. The 3 flashing red Lights. I called 1-800-4MYXBOX and was greeted with a message about this problem. M$ is extending the warranty due to this problem for 3 years(my box is just 6months old). After listening to the messages, talk to an agent and they will start a repair ticket for you and send you a UPS label to ship it to a repair center. I am waiting to send mine out. I'll update as soon as I can.
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