According to SquareTrade, a company that specializes in selling warranties for electronics, the Xbox 360 suffers from a failure rate of 16.4%. Well above the norm of 3-5% and most important and all, more often than the competition. SquareTrade estimated the failure rates of both Wii and PlayStation 3 to be around 3%. A whopping 60% of the failed consoles suffered from the infamous Red Ring Of Death. Half of the remainder suffered from disk errors, while the rest had problem with fried graphics chips, random freezes, and malfunctioning disc tray to mention a few.
This is way below the rumored 33% claimed by Best Buy, Gamestop and EB Games, but still way up to five times higher than your average electronics. We should add that everything points to that never versions of Xbox 360 are less prone to fail.
