Answer:
This is sometimes do to overheating of the thermal compound on the heatsinks that keep the system cool. Sometimes very rarely it is the power supply but, to answer your question.
To fix it you have to re-flow the GPU and CPU chips on the motherboard with a heatgun, take the old thermal compound off and use Arctic Silver 5 thermal compound and reapply it to the heat sinks. You have to take the whole thing apart to the motherboard and here is an amzing tutorial on youtube and he is doing it on the 60GB model.
http://www.youtube.com/user/gilksy1

{ 3 comments… read them below or add one }
Hi! Have you considered fixing it yourself?
If you wish to fix it yourself, please refer to this article, hope it helps you as i follow their guide and videos and managed to fix my problems such as Yellow/Red/Green light of death and Freezing screen!
http://www.articlesbase.com/video-games-articles/fix-ps3-yellow-red-light-of-death-yourself-at-home-1686061.html
To fix it, you could try locally like craigslist that is really cheap. Or if you want a quality experience, ring up sony, I know it's expensive but as I've said it's really worth it.
knightsgamingrepair.com
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