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Overheard@E3: evidently, they do fail sometimes

Bethesda Softworks executive producer Todd Howard, in giving the Fallout 3 presentations, had two Xbox 360's on hand. One had the flashing red ring, but Howard noted it's because there were no AV cables plugged in.

As to why he had a backup console, he quipped, "I do have a backup should one Xbox 360 fail ... evidently they do that sometimes."