Last month we discussed reports that Xbox 360 consoles were experiencing an increased number of "E74" errors. Now, Microsoft has announced that they're extending the three-year warranty originally designated for "general hardware failures" (read: Red Ring of Death) to include E74 repairs as well. From the support page post: "... 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. ... 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."
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