Well my 80gig first-gen died on my 2 days ago, I just fixed it myself this morning for a grand total of 7.50$ for good thermal paste and two hours of my time.
For all you skeptics on the heatgun repair, it works pretty darn well. I haven't lost all my data and machine and didn't have to pay sony 150$ :))
I fixed a TV once for $11. Two blown capacitors. THat's it. Just replaced them with new ones and it's as good as new.
I would like to post a note of wisdom, something i have done recently. The 60gb, 40gb, 20gb, and some 80gbs, are worth quite a bit more than the slim models brand new. after having my 60gb since launch i decided, well...it's getting pretty old and it's gonna crap out soon, so why not sell it. I sold it on craigslist for $350 and then met the guy at Hastings (game store) and swapped with him for cash, turned around went in the door and bought a slim model. I did not use mine for backwards compatible so this was genious because there are tons of people who would kill for BC. and i've heard rumor's that BC is coming back to PS3 so, in a word of advice...sell sell sell!!! and then buy buy buy :D you will get a brand new slim system, and another warranty :D
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