I'd phone them up again, dr wadd.
Give them a nice long (& polite

) rant about the Sale of Goods Act, & how it is ridiculous that something made by such a large company should fail after less than two years.
The DVD drive problem was very common with the early XBoxes (crappy Thomson drives, rather than the newer Philips & Samsung drives), & is a problem that M$ know about & have acknowledged.
The drive on my 1st XBox failed after about 14 months, & M$ fixed it for me for free (new drive, plus new hard drive & new motherboard, & free shipping).
I know of people on other forums who's XBox DVD drives died when they were well out of warranty (as old as yours, if not more), & they still managed to get M$ to fix them for free.
Here are are couple of posts I've just found from March this year:
Quote:
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Originally Posted by himji at Britxbox.co.uk
Just ring them back and keep doing so until you speak to somebody that will repair it. SOme agents won't and some will, it's pot luck mate
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Quote:
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Originally Posted by Geoggy at Britxbox.co.uk
don't waste your time phoning the unhelpful line.
send an email via the ms official site explaining the problem and how under the sales of goods act the console should last a "reasonable time" - threaten them with trading standards etc etc
i have just had my launch day xbox repaired for free by doing this - they replaced the DVD drive.
ringing the help line will get you nowhere fast.
Good luck.
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EDIT:
Quote:
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Noteworthy also is the †˜sale and supply of goods to consumers regulations, 2002â₠¬Ã¢â€žÂ¢ which states the consumer has the right to †˜choose repair, replacement, partial or full refund, or compensation if a fault appears within 6 years (5 years in Scotland) and it is reasonable for goods to last that longâ₠¬Ã¢â€žÂ¢
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I didn't notice that bit at first. Definitely worth bringing that up with them, I think.