Where is the Xbox 360 Lite?

The Xbox 360's hardware has been a disaster since day one.

I love my Xbox 360, but a lot of that love is in spite of all the things the 360 does to make me hate it.

I'm on my 5th console (although this one seems to be a good one - I've had it for a long time now). It's loud. It heats up. It's hardly elegant.

So my question is, where's the hardware redesign?

It's costing Microsoft a lot of money to keep replacing consoles. They just announced they're going to cover the E74 errors under the 3 year warranty, which is going to cost them a bunch more.

They've redesigned the chipset once or twice, but the basic structure of the console seems unchanged. They've tried to quiet the thing down by letting you copy games to the hard disk, but then they keep a hard disk big enough to take advantage of that prohibitively expensive. And is it that hard to get a quiet DVD drive? Sony seems to have managed.

What are Microsoft's hardware engineers up to?