You can fix it yourself, it's not that hard just a bit tricky. Basically all that happens is the compound between the heatsink and the cpu/gpu dries up and doesn't work - so the chips overheat. The motherboard protects the chips so you get the ROD. The compound paste cost about 10chf.
I've went a bit mad and placed mine in a special case
www.silentxbox.com to make the Xbox super quiet (but this was way before the latest quieter version came out). It still works perfectly after a year.