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Microsoft to provide extended warranty for "E74" Xbox 360 Failures

Microsoft has extended its warranty to cover the “E74” error which saw an increase in occurrences being reported since November of last year. Joystiq broke the story after conducting a survey of its readers. The survey results showed a significant increase in customers suffering from the “E74” error since the launch of the “New Xbox Experience” which launched in November 2008.

When the E74 error, occurs one of the lights on the “Ring of Lights” on the front of your Xbox 360 console flashes red and you receive the error code and message: "E74. System Error. Contact Xbox Customer Support". In addition to the bottom right portion of the indicator ring repeatedly flashing on and off, lines or snow will become visible across the screen. Microsoft conveniently lets the victim know in nine languages that they need to contact customer support when the error occurs.

Microsoft released the statement below:

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.

Up until this point there was conspiracy theory that Microsoft may have changed the system diagnostics test to report Red Ring of Death error as E74 instead to save money. The E74 error was not covered under the 3-year extended warranty set in place for the Red Ring of Death issue. Customers were forced to pay $100 for the repair if the error occurred later than 12 months after purchase.

 According to Kotaku, if you were forced to pay for E74 repairs in the past, Microsoft will provide you with a refund over the next 4-12 weeks. Microsoft did not provide an explanation for why they have changed their policy with regards to how they handle the E74 issue.

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I'm sorry but
By Chaser on 4/14/2009 10:10:38 AM , Rating: 3
this is getting ridiculous. A rushed console that Microsoft quietly extends a "put it in the box and mail it to us" warranty while you wait for weeks at a time is a joke.

The wide spread 360 design flaw and Microsoft's apathetic warranty policy is deceitful to the public.




RE: I'm sorry but
By plewis00 on 4/14/09, Rating: 0
RE: I'm sorry but
By hcahwk19 on 4/14/2009 10:39:37 AM , Rating: 5
They do give comlimentary Xbox live Gold membership cards. I just received a 1-month card, and I was without my 360 for only a week. When my brothers sent their first one in, they got a 3-month card.


RE: I'm sorry but
By jrollins006 on 4/16/2009 9:18:09 AM , Rating: 2
I had the same Problem,I had signed up for it to autmatically charge my card every month, but once upon a time my xbox 360 got stolen and i called the very next day to cancel my live membership, the chrages stopped, till 5 months later when they decided to charge me for the past 5 months....

but other than that i love my xbox 360, some great FPS 3PS are on this system.

There are simple solutions to the overheating problem.
if you have some extra cash and time, i would invest in water cooling system, i knew someone that did it and it worked great, kept his system at around 90 degrees.


RE: I'm sorry but
By hcahwk19 on 4/14/2009 10:29:46 AM , Rating: 2
Luckily, I shipped mine to MS on April 1 and got it back on April 7, a turn around of less than a week. They actually replaced every piece of hardware in it instead of just giving me a new one. All I can say is that from what I can tell, they did a very good job. I can hardly hear the thing running now, even in the middle of very graphic intensive games. When I set everything back up after getting it back, I had to put my ear up to it to hear it. I hear the DVD drive seeking every now and again more than anything else while playing.


RE: I'm sorry but
By MrSmurf on 4/14/2009 11:21:03 AM , Rating: 2
I don't think you can blame it on being "rushed" if consoles made 3 years after launch are still suffering high defectives rates.

That's when you blame shitty engineering and/or cheap corporate suits. MS had plenty of time to redesign the 360.


RE: I'm sorry but
By Totally on 4/14/2009 9:20:59 PM , Rating: 2
I'm with you there, but the keep singing the praises "Mah xbox darn dun broke, so I called em up, got the box and shipped it, yessiree, best warranty service". I can't believe they aren't cross-shipping the warranty consoles as standard practice.


RE: I'm sorry but
By PascalT on 4/15/2009 10:43:46 AM , Rating: 2
Cross-shipping $200 consoles is a really good recipe to losing a ton of money. Are you serious?


Good for MS
By hcahwk19 on 4/14/2009 8:45:07 AM , Rating: 4
When I sent my second 360 in a couple of weeks ago for the 3-red rings, I asked the tech support about the E74 issue (which caused me to send my first one in a year and a half ago). I was told that the E74 error is due to memory failure, whereas the 3 red rings is a failure in the motherboard circuitry caused by repeated overheating and cooling down.




RE: Good for MS
By tirminyl on 4/14/2009 8:49:01 AM , Rating: 2
They are general hardware failures. It can fail for several different reasons. Yours may have specifically been those.


RE: Good for MS
By Hyperion1400 on 4/14/2009 5:41:09 PM , Rating: 2
Almost all of the RROD issues are caused by degradation of the solder joints used to connect the CPU and GPU to the motherboard. This degradation is caused by the RIDICULOUS temperature ranges that occur inside the 360 between start-up, full load, and shut-down. Needless to say, most of the failures could have been resolved with 5 dollars worth of copper and premium thermal compound and a couple of 120mm fans instead of those piddly ass 40mm POSes.


RE: Good for MS
By mindless1 on 4/14/2009 8:34:12 PM , Rating: 2
It wouldn't require even that, the GPU 'sink is ok, even the 40mm fans might suffice but they made a terrible blunder.

They did not extend the exhaust duct over the GPU 'sink, stopping it just short of the sink. Whoever designed that ought to be fired, then whoever decided on a heatpipe sink where it also didn't have ducted airflow over it, instead of a normal fan retrofit on the GPU sink OR extending the duct, also ought to be fired.

Either way, the necessary resolution was $1 plastic duct or fan.

IF the console is operated in high ambient temperatures, in that case I would agree that an additional intake or exhaust fan is a good move, or thicker, higher RPM exhaust fans with feedback set to throttle them up pretty fast when excessive temperatures are sensed.


RE: Good for MS
By TreeDude62 on 4/14/2009 9:15:57 AM , Rating: 2
I have sent mine in once for a RROD and I have only had it since September and the manufacture date was June 08. I thought I would be pretty safe, I guess not.

At least I know I will be covered for a while.


RE: Good for MS
By StevoLincolnite on 4/14/2009 10:56:05 AM , Rating: 2
When I first got my Xbox 360 I had it for exactly 6 weeks to the day when it broke down, the issue was the Wireless Receiver thingy inside the Xbox which refused to make a connection with controllers, out of all the "Warranty" services I have dealt with over the years so far that was probably the best experience, they sent the box to me, and I just sent it off that same day and got a months free of Gold Membership out of it. (Even though I have 5 years worth, because I cant buy wireless headsets here, they only come bundled with a Live subscriptions and I wanted one for every controller).

However the issues that plagued the Xbox 360 shouldn't have happened in the first place, they should have spent more time testing the machine before rushing it to market.

The good side of it all is that Microsoft probably learn't from that experience, The Original Xbox console didn't suffer from hardly any of those issues.

Still I love the Xbox 360 for it's vast library of shooters and racing games and Live! service, just a shame the hardware brings down the platform as a whole.


RE: Good for MS
By cerx on 4/14/2009 12:20:04 PM , Rating: 2
I have a 360 and love it (1st and 2nd generations; general issues but never had to send them in). But I'm sure the only thing they've learned is first to the market wins.

And a wand-thingy gets old people to play games, too.


And still the fanboys cheer!
By Gymnogene on 4/14/2009 2:51:17 PM , Rating: 3
What I find amazing is how many fanboys the 360 still seem to breed every day, and they all can't seem to stop shouting how Sony doesn't care for their consumers.

Microsoft released a flawed, unfinished product and they knew it. In a blatantly unethical move and by completely disregarding the good faith of their consumers they were willing to literally do anything to force their product onto the market.

Yes, they extend the warranty but clearly have no concern over the time you have to waste and the frustration of having to arrange for your console to be repaired and waiting up to 6 weeks without being able to use it. And best of all they don't send you a new one, they send you a refurbished one that are guaranteed to fail again within 6 months.

I still believe every dog gets its day. So will M$. The cheapest 360 goes for half what the cheapest PS3 goes for and yet they're only selling 4% more consoles than Sony at current weekly stats. If Sony drops their price its a no-brainer they will leapfrog the 360 in weekly sales never to look back.

But hey, I suppose M$ will rush the 720 for release as soon as that happens (before end 2009) and all their blind fanboys will rush out to get it and start vomiting on every forum about how the PS3 is now old tech and the (all new flawed) 720 is where its at! And it'll have the option of a Blu-Ray add-on... awesome!

5 years from now after they spent a total of $1,000 on every flawed piece of M$ hardware and accessories (including BD player) and extra shelves to house the accessories, and another $500 for Live and spent 20% of the time waiting for their console to be repaired I'll still be playing my release PS3 every night and smile as I insert my Casino Royale BD to watch it for the 20th time in glorious full HD.

Unbelievable.




RE: And still the fanboys cheer!
By EasyC on 4/14/2009 2:59:53 PM , Rating: 1
Amen.

That's all I can say.

Honestly what are they going to do with the 720 that would be leap years better than the current tech? I don't know of any mainstream TV's that run higher resolution than 1080p. And blu-ray add on? Does that mean they are still going to use DVD as a media for their games. WOOHOO 9.4 GB's! I love watching texture compression on my games (Gears of war showed alot of this).

Maybe if the 720 is a quality system, I'll consider looking at it, but with my current taste of M$... I doubt it.


RE: And still the fanboys cheer!
By wallijonn on 4/14/2009 6:09:54 PM , Rating: 2
quote:
WOOHOO 9.4 GB's! I love watching texture compression on my games (Gears of war showed alot of this).


Since there are so few PS3 exclusives and since most games are cross platform the PS3 will never get a game that isn't mastered onto DVD9. Had MS gone with HD-DVD then the game publishers could've used all the extra space for uncompressed textures, porting some to 30GB HD-DVD and the rest to 50GB BD. But since there is no HD-DVD there will be no BD games for the PS3 and the 360.


RE: And still the fanboys cheer!
By Chaser on 4/15/2009 12:32:46 AM , Rating: 2
But plenty for the PS3. And the list keeps growing.


RE: And still the fanboys cheer!
By Reclaimer77 on 4/14/09, Rating: -1
RE: And still the fanboys cheer!
By just4U on 4/14/2009 4:27:08 PM , Rating: 2
Yeah my cousin's did as well. His 360 though has never died and he got it at launch.. so that's a bit of a surprise.


RE: And still the fanboys cheer!
By callmeroy on 4/17/2009 10:33:56 AM , Rating: 1
Regardless of what the specs say , I have witnessed with my own eyes recently that a standalone player looks better than a PS3 playing the same movie on the same TV. I thought this would be the case but when I saw it first hand it just proved my own theory correct. So I wouldn't get a PS3 for playing blu ray movies....I'd get it first for the games beyond all else (if they had games that interest me -- I'm not much of a console gamer).

That aside....what's wrong with Casino Royale -- I actually liked the movie. You don't re-visit your DVD collection to watch movies over again that you've had for years?

For instance I've probably seen The Hunt for Red October about 40 times since I bought the DVD a couple years ago.


RE: And still the fanboys cheer!
By MonkeyPaw on 4/14/2009 7:11:02 PM , Rating: 3
quote:
I still believe every dog gets its day. So will M$. The cheapest 360 goes for half what the cheapest PS3 goes for and yet they're only selling 4% more consoles than Sony at current weekly stats. If Sony drops their price its a no-brainer they will leapfrog the 360 in weekly sales never to look back.


While I won't argue with your comments about MS cutting corners, the above conclusion is just wishful assuming on your part. A more logical assumption might be that since MS has sold so many MORE 360s, their sales rate has now leveled off. The PS3 never had a high sales period like the 360, and the PS3 sales have a declining trend when compared to past sales figures. Sure, a $300 PS3 would increase sales, but Sony has already lost most of their exclusive titles, and thus many of their customers to MS. I honestly don't know how Sony will recover, since the BluRay exclusivity is less and less of a selling point everyday (as BD players are getting cheaper). Eventually, the PS3 needs to stand on its own 2 legs as a gaming console, and this is where it really can't set itself apart from the 360.

The Wii will take longer to cap and decline/level-off, since it is a totally different machine being purchased by a much wider audience. 360 and PS3 are for a totally different (smaller) crowd. This is why the $200 360 can't outsell the Wii, and why a $300 PS3 just won't make that big of a difference.


RE: And still the fanboys cheer!
By mindless1 on 4/14/2009 8:50:29 PM , Rating: 1
Remember that MS likes to throw money at a problem. It's quite conceivable that their thinking was like this:

Build it cheap so it can be priced low. That'll sell more units, allowing us to capture more market share. If a few fail later, the customer has the investment in the games and will not so quickly switch to the competitor's platform. Capturing this market share is worth the money spent.


Poorly Designed
By luceri on 4/14/2009 11:29:03 AM , Rating: 5
I've got an old MS25 Launch Console myself, I'm an engineer and work in the industry, I always open these things up when I get them. The Launch console was using thermal TAPE. Yes that's right, it had strips of thermal tape on both the CPU and GPU for cooling. If that's not bad enough, the poorly done soldering job was already showing signs of weakness. I replaced the thermal tape immediately and didn't get the 3 RRoD until but last year. I reflowed the solder on the entire board, should hopefully permanently fix this massacre.

The thing that irritated me more than anything else is the cheap DVD drives used which sound like get engines taking off. The Toshiba/Samsung drives at launch are absolutely atrocious. One already died on me, replaced it with an MS27 toshiba and works okay after fixing the DVD Key. The newer BenQ, now Lite-On drives are much better. Can get a BenQ for 35$ shipped and it'd help out with the sound issue, but this is a stupid expense to have to pay to fix this stupid thing. Not to mention I need to hack the firmwares to get the stupid drives to work properly, then risk getting banned on Xbox live for hacking the BenQ to work on an MS25 console. This console has been problem, problem, problem.

However, the problems aren't engineering issues. They're corporate idiots trying to cut corners to improve profits. The GPU and CPU in my console are still mint despite being fried with thermal tape for a while and having the solder melt to the point there are connection flaws. Very well built GPU and CPU. No problems with the RAM overheating or anything, EVER. The exhaust system works well, but it could have a quieter fan.

My Point: This is an excellent console but the guy with the management degree from Harvard, who knows absolutely nothing about engineering, is trying to increase profits thus destroying the console. The engineering behind it is phenomenal, especially for the time it was launched. I guarantee you not a single engineer who worked on this console recommended the use of thermal tape or cheaply done soldering. Nor saving literally 1$ for a cheap DVD drive that's 3x louder than it should be. I'm not sure who the blame should lie on for this really, I guess it is Microsoft.

It just depresses me that the guys who put blood sweat and tears into such a great product have it ruined by the wigs who decide to attempt to save 2$ per console. The general public doesn't know exactly what's up here, they throw the blame on the engineers. Not their fault guys -- the engineers should be commended. The wigs are the ones that should be blamed for this one.




RE: Poorly Designed
By bnutz on 4/14/2009 12:19:43 PM , Rating: 3
You are so 100% correct. It's the scumbag CEOs that made this issue possible. They are always trying to cut corners to increase their bonuses. Engineers designed the product and the CEOs decide what and where to get the parts. I doubt the test platforms have these problems, it's when it gets the the manufacturing, who ever give them the cheapest bid to build the product gets the order. As long as the product works long enough that's what mattered, the manufactures and CEOs never think long term or past 90 days.


RE: Poorly Designed
By cerx on 4/14/2009 12:24:44 PM , Rating: 2
Agreed. The noise is incredible. Especially when you have to get a 3rd party fan system to keep it cool (and therefore running/working).


RE: Poorly Designed
By mindless1 on 4/14/2009 8:45:41 PM , Rating: 2
Some blame lies with the engineers too. What they do is forget to leave some margin. They see a spec for thermal tape, a spec which suggests it is sufficient, then they forget this is a marketing trick, that this spec is in ideal conditions which are never met when manufacturing consumer goods.

They see a spec for fans, then they forget this is also an ideal free air rating. They see temperature readings that look high but not high enough to cause immediate damage and again they forget their margins, that something getting hot and cooling down a few times is no proof it can do that long term even if some spec claimed it could if everything were perfectly complimentary to that happening.

In short, just because one set of engineers make it electrically and logically acceptible, that doesn't excuse another engineer in charge of cooling making a mistake. If the engineer said it would get too hot using thermal tape, the beancounter has limited ability to second-guess that.


Documention Problems
By Alpha4 on 4/14/2009 12:49:23 PM , Rating: 2
I foresee some headaches brewing over this development. It is my understanding through personal experience that many Xbox support agents do NOT carefully catalogue the type of hardware failure when trouble-shooting defective consoles.

When documenting a hardware failure agents are prompted to select among a list of known hardware defect causes, which I believe the technicians would use when conducting repairs. Unfortunately a disgruntled agent will simply choose randomly from that list to expedite a trouble-shooting call.

Ideally the technician would conduct their own diagosis, come to a more accurate conclusion and update the repair order accordingly, but considering the volumes they handle (and from personal dealings with them) I don't think that happens very often.

I believe these repair orders, or "tickets", are what Microsoft go by when dispensing cheques.




RE: Documention Problems
By mindless1 on 4/14/2009 8:57:59 PM , Rating: 2
Having almost unskilled agents check a box in a few seconds' time is a lot less expensive for them than having skilled technicians available.


RE: Documention Problems
By Alpha4 on 4/15/2009 12:22:02 AM , Rating: 2
quote:
Having almost unskilled agents...
I speak candidly when I say that is high praise. Now that I'm gone anyway. ;)

In any case I think you're very right. I bet that at some level Microsoft is aware of these record-keeping gaps and is more than happy to look the other way.


RE: Documention Problems
By mindless1 on 4/17/2009 6:01:33 AM , Rating: 2
No offense meant, it's just not economically feasible to man customer support phone lines with capable engineers for equipment that doesn't cost dozens of thousands of dollars per item or contract, if not more.


This just in!
By BansheeX on 4/14/2009 10:39:07 AM , Rating: 5
Microsoft has announced a new SKU that will use jell-o instead of thermal paste. It will also include a complimentary pair of brass knuckles. When asked about the new SKU, a top executive was quoted as saying "I extend a warranty in your general direction!" before disappearing behind a fortress of money and lawyers. Several Sony executives were also sighted pushing around a giant, wooden bandicoot and giggling amongst themselves.




RE: This just in!
By Army1156 on 4/14/2009 2:07:31 PM , Rating: 2
6!


What a piece of crap!
By tallcool1 on 4/14/2009 12:23:37 PM , Rating: 5
quote:
While the majority of Xbox 360 owners continue to have a great experience with their console
They might still be able to say that, as they are probably hovering just above 50% (for now).

Between the RROD (~30% failure rate), crappy loud as hell DVD drive, scratching discs, now we have this E74 situation. Did I miss any other issues?

What amazes me is the XBOX fanboys will continue to defend this hardware despite it probably being the most poorly designed/manufactured console ever released?

If this was another piece of electronics, like a HDTV, the sales would have dropped like a rock when the word got out about the failures, and the product would have been discontinued.

If Sony wouldn't have been late to market, had more titles in the lineup, been a little more cost competitive (all of the above is contribued to them waiting for and putting in the blu-ray drive), the 360 would have died by now. The Wii is really not a direct competitor in my opinion. Therefore lack of better "direct" competition in the market is what keeps the 360 sales strong.




RE: What a piece of crap!
By lightmessiah on 4/14/2009 8:50:15 PM , Rating: 2
quote:
What amazes me is the XBOX fanboys will continue to defend this hardware despite it probably being the most poorly designed/manufactured console ever released?


I won't defend the hardware (although I do love the controller), but I am very happy with the software and the service. I have plenty of games to get through before a PS3 will interest me.


the reason...
By glennc on 4/14/2009 10:12:51 PM , Rating: 2
It is pretty obvious that the reason for the warranty extension on this particular error is because they once again caused it with their updates. The last few updates have bricked alot of consoles.




RE: the reason...
By Hiawa23 on 4/15/2009 1:28:37 PM , Rating: 2
Sucks, but I have a 11/03/05 console that was repaired in Jun08, has been fine since, also have a 3/2008 midel that has had no issues even after NXE, covered under 2 year warranty so not worried to much. Shame that MS allowed yet another screw up, as the 360 may go down as my favorite alltime console ever as I own 60 games for & love it. I also own a PS3 & Wii. The Wii I really don't care about & PS3 is nice but is nowhere nere what live is & I only use for it's exclsuves, but it's a shame MS finally gets a platform out that they should be making money on & yet they have to waste resources fixing something that shouldn't be an issue to begin with like the RROD. Again, I love my 360s, as I have had less problems with them than both my PS2s, both had to be repaired, & had 2 PS1 need repairing, but fos so many other who has had issues, MS should be ashamed. Will i buy another Xbox if there is another one next gen, heck yeah, I am sure many won't as a result of the reliability fiasco this gen.


By EasyC on 4/14/2009 12:24:03 PM , Rating: 2
With more and more "exclusive" games going cross platform, problems plaguing the 360, and the nickel & dime technique used by MS's marketting, this system looks less and less appealing.

I've owned all 3 "next-gen" systems. I had sent my 360 in on 2 separate occasions over 2 years. I sold it because I got more use out of my PS3 (which never broke, and it is a launch 60GB). I also sold my launch Wii because it wasn't anywhere near what I expected (or what it was marketted as), but it also never broke. Oh and my roomates 360 can't even stream video from my media center, it just freezes. The PS3 has no issue.

So most of you are right. MS didn't care about the consumer, so much as their pockets. They cut corners on hardware, nickel & dimed people on accessories, and charge a premium to get full use out of the system. I'd rather just buy a system that works out of the box with all the features I want and free online. I never got the original xbox so this was my first time purchasing a MS gaming console. I should have just saved my money and stuck with Sony.




TOO LATE!
By pro5 on 4/15/2009 2:32:47 AM , Rating: 2
A bit damn late for users like me, who's box died of E74 way back in 2007. I *REFUSED* to give money to MS to 'fix' their problem, esp knowing how flaky their repairs were.

So instead I just resigned myself to the fact I was down by £300 and left it sitting in the corner... a year later I decided to take it apart (nothing to loose right?) and see if there was anything I could do (inc improving the cooling) I Knew it was all pointless as E74 was fatal not like RROD.

Anyway so my 360 is in a box of bits now.. where do I stand on getting SOME MONEY BACK? I was the original owner, never mistreated it, barely played it in fact and it still died and now they FINALLY admit it was a problem and are giving 'refunds'...

I can't believe the stunts they have pulled this gen with that POS hardware. May they be forced out of the console hardware business forever with their deceitful operation. :(




Remember the days...
By Hieyeck on 4/17/2009 5:59:28 PM , Rating: 2
...when consoles left the factory in a working condition?

The worst that could happen was dust on connections and a bonus side effect of giving everyone some much needed cardio.




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