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XBOX360 Bad Experience

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I have been very happy with my xbox 360, until this morning. I powered it on and I received the 3 Flashing red lights. I went through the customer service. I was told that I had to pay ~$160 and wait about 3 weeks to get a new console. Why, should I have to pay $160, after spending ~$500 for a bad product?

I talked to customer service and told them how I felt, and that for an extra 100 bux I can go out and get a Wii that works. They told sorry I felt that way and went on their way. What kind of service is this?!!

Anyways be warned if you plan on buying a 360.

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