Xbox360 hardware failures are usually thermal paste dried up ....

I have fixed 2 of my friends.   Dont know why but I have also heard this has been a big problem.  I still own my launch day console but I dont play like my friends do so maybe thats why it hasnt overheated.

All youve got to do is overheat it by using towels and it works fine. That is the Ring of Death I mean.martin_f

All youve got to do is overheat it by using towels and it works fine. That is the Ring of Death I mean.martin_f

While I was awaiting my coffin for my Red Ring'd 360, I tried the "towel" thing.  And I can confirm that it works. 

The towel only needs to be on for about 10minutes.  It gets real hot but doesn't burn.  Doing this made the 360 fan reach a near jet engine like velocity, and thereby fixed the ring red effect if only for a short period.