Um, if I'm not wrong the warranty is extended, for that problem only, up to three years from the date of original purchase. Meaning you can just exchange your set for a completely new one, free of charge. My 360 just had the same problem and the local Microsoft office said I could come down to exchange it for a new one this coming Tuesday free of charge.
The only thing that bugs me is that this makes it the third time I've experienced this problem dammit.:shakefist