Unless it was some kind of embedded software that could not be reflashed, that sounds like a line of pooh from Sony. But I agree with you, I would not have taken any chances and would get it replaced while the offer is on the table.

I wonder if this has had any effect on Sony's relationship with Best Buy. Although IMHO Sony has done a terrible job with this release so I wouldn't expect retailers to really know what exactly Sony had wanted and/or required from them. This whole release has been as though Sony doesn't even care that much.