Xbox 360: Faulty Reputation

The Xbox 360 looks pretty cool to me, but with me it has a bad reputation. Here's why:

1. Many people who got the 360 ended up having it fail and ended up in a Customer Support nightmare. Some recieving 360s back that had different profiles than the one they sent to support.
2. The Xbox 360 was fun to play at the In-Store displays, but now almost every Video game store in my area that has a Xbox 360 on display for playing demos is either "unable to read disc" or is not operating. One of the many store owners told me that the Xbox 360 on display is "broken". There's PS2's in In-Store displays that are still operating, and they're old! If the 360's in the store are doing this now, imagine what one 36o would be like in my house.
3. $400 is a ridiculous price.
4. I doubt they have my best interests in mind, they just want to make money. Let's look at the facts: The 360 was really faulty when it came out, In-store displays of it are failing to work, the Nintendo Wii is coming out at $250, and yet the 360 hasn't lowered its price. I hope it figures this out or it would have bad business. C'mon Microsoft, you're the experts! I know you can figure this out!