So what causes this problem?
Few users assume it to be an overheating issue. But this is not the case usually. It is an engineering defect which is probably caused during the production of these consoles. To be more specific, red ring of death is a sign of general hardware failure which is indicated by 3 red lights near power button. It occurs, when the motherboard gets heated up and soldering of Graphics Processing Unit or the GPU which is fit on motherboard becomes loose due to the excessive vibrations of the system which ultimately freezes up your Xbox 360.
It is a definite flaw and can be fixed by following the step-by-step action plan given below:
1) Disassemble Xbox 360 Case
Use a fine tip screwdriver and poke the grayed out holes on the back of the small rectangular holes. Remove the Faceplate and move the latch up on the DVD drive as you remove it. Unscrew the whole metal case which is under the plastic case.
2) Remove Motherboard Carefully
Unplug all cables and every other connected devices and then remove the DVD drive. After removing the drive, get the fan and motherboard out of the Xbox 360 case very carefully.
3) Snoop off the X-clamps
Turn the motherboard upside down and then using a screwdriver snoop off the X-clamp which you can find under heat sink..
You are suggested to do this step very gently.Extra precaution is required as these clamps are fixed very tightly.
4) Heat Sink to be unscrewed.
After you have removed the X-clamps you have to unscrew the heat sink to obtain CPU and GPU. This work requires a great deal of patience, please follow all steps else it will damage your Xbox 360.
5) Cleaning of GPU and CPU.
Use a soft fine hair brush to clean the GPU (graphic processing unit) and CPU (central processing unit). Perform this step correctly as it will help to stop the Xbox 360 from freezing. You should make sure that you do this right as they are very critical and important steps.
Applying Arctic Silver.
Now you have to apply arctic silver thermal compound gently over GPU.
You can get this arctic silver thermal compound in any computer hardware shop. Set the arctic silver for maximum of 30 minutes and then place 2 washers on each screw on the heat sink and then screw back the motherboard. Add two more nylon washers to screws. Place the heat sink on the screw then push them down slight, and then screw them up tightly. Get everything back together and check everything is fit properly. Now, Turn your Xbox 360 on and start gaming.
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