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I don't remember anything sounding like that on mine.
While you have it out though, I really think you should plug it in and update the thing...especially since it's for your kids. You'll have the initial 5GB patch that will take quite a while to download, and, respective patches for most of the games you bought.
You'll save your kids an hour or more of time on initial setup if you get it out of the way now.
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