Microsoft announced that effective December 22, 2006, the Xbox360 warranty has been extended to one year from the date of purchase. The extended warranty applies to new customers and existing Xbox 360 owners.
Hardware issues with your Xbox360 within one year of purchase, your console will be repaired at no cost.
For those of you who have already shelled out to get your 360 fixed within their first year of ownership, Microsoft will be automaticaly refunding the repair cost within the next 10 weeks.