Yeah, the obvious thing is to contact Microsoft.

I had troubles with old Sony 2's coz of dust, and they sent me packaging to post it to them for free, giving me the opportunity to either have it fixed, taking 4-6 weks, or recieving a 2nd hand replacement immediately.

BUT

There was a fee of 125 bucks though, no matter what was wrong with it.

microsoft should be a bit nicer....

Yes, better weapons come with levelling up, BUT, your Blade skill has a major effect on how much damage it causes. Hence, you might have a steel longsword that does 4 points damage, but it's capable of 12 points if your blade skill is high enough.

Weapons are available at the following levels..

Level 1-IRON, level 2-STEEL, level 4- SILVER, level 6-DWARVEN, level 9- ELVEN, level 12- GLASS, level 16- EBONY, level 20- DAEDRIC.

Obviously this excludes quest items you may recieve. Magical items are available at TWO LEVELS higher than their non-magical counterparts.

I'm only a smart arse coz I've got the manual.....