Microsoft announces it will take a $1 billion charge to expand the warranty for its Xbox 360 video game consoles. The company says too many of the machines have succumbed to "general hardware failure." Microsoft is extending the warranty on the machines to three years.
According to the company, game owners can tell if they are affected if they see three flashing red lights on the front of the console. Microsoft says it will repair or replace affected machines free of charge, including postage.
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