We have been watching things a bit before we wanted to say anything, but it does seem that at least some Xbox 360 owners are having problems with the “HDMI Audio Fix” update that Microsoft started pushing out last week.

While we have updated at least a couple of consoles ourselves with no problem, it is starting to appear that we were very lucky that we avoided the “red ring of death” that other experienced after applying the mandatory update.

It seems that after the update was applied, some users received an E74 error, which still others received the dreaded RRoD. What is a bit more puzzling is that it seems that all console revisions appear to be effected including the latest Jasper revision of the console. It also does not seem to matter how you had been receiving audio from your Xbox previously or what kind of connection you had to the display.

Understandably many owners are more than a little upset and this is being compounded by the fact that many consoles that are older are just now no longer covered by the three year warranty extension that Microsoft instituted to deal with the RRoD issues.

While the update was welcomed by many users that were having problems with HDMI audio output, it seems that many who were having no problems at all have been effected by this update. While we have not seen an issue first hand of this update bricking a console, we certainly do think it is possible due to the volume of people that are claiming that they are having a problem after the update.

Currently Microsoft has not said anything publically or in the forums on what might have happened or what could have gone wrong to create this issue, but we suspect that they are hard at work investigating to determine of the root of the problem. We do suspect that it has to be more than bad luck that is causing the issue.

Hopefully this will be like the 2.40 Firmware update on the PS3 that can simply be fixed with another patch, but with those systems that are exhibiting the RRoD, we are not sure that another update is going to be able to be applied to solve the issue and it is likely that these systems may have to be shipped into a service center for re-flashing or repair.