That most likely is true about the failure rate but, microsoft unlike sony will most likely give you a free replacement(which they tend to mess up and give you and extra one) or charge you half of the consoles cost. Sony I've heard and seen, does a lot less.
Sony's console has a one year warranty by default and the 360 a three year warranty. It doesn't cost much to extend the PS3's warranty, however (no more than Live would cost for a year) and the PS3's failure rate is far below the 360's. From all I've seen and heard regarding the matter, at least in the original (meaning non-slim) PS3s and 360s, the PS3 had about a 10% failure rate (well within average electronics failure rates) while the 360 had a 50-60% failure rate (variable based on location tested, no collective average). I am, by no means, defending Sony's incompetent security measures (or rather lack of), but the PS3 has no need for such an extended warranty time. Losing one's console for at least a couple weeks, losing one's hard drive (and all saved data), and having to EXPECT one's console to break just don't seem acceptable, to me. That's just me, though. I hate faulty hardware and I worry about what the lack of impact on 360 sales doesn't say to console manufacturers of the future (I fear they won't take all too many measures towards making quality products because they will sell, anyway).