Really sorry to learn of your fault because I had exactly the same with my BB phone. Fortunately it was within 7 days of my setting up the contract with O2 and they exchanged it for another. However, this was the 2nd phone in a fortnight I had gotten from them. The 1st one developed a line across the screen and it wasn't a crack. I was told at the shop they must have received a bad batch as they tried another battery in mine and the red light no action continued.
I think you have to be a BB fan, as I am, to want to keep the faith. A more forthcoming o2 advisor told me they have had numerous problems with BB phones as they were forever going wrong. Just maybe this is why RIM are concentrating their efforts on the corporate market. Can't see them succeeding if they're unable to get it right with the individual service.
The only safeguard I can recommend if you really want to continue using BB phones is to get insurance covering parts and labour. Oh, and keep a spare phone to slip your sim into whilst yours is away being repaired, should it break down. All the best.
