It's not overly buggy, its just that there are some bugs and they are annoying, the internet browser is another problem, it crashes quite often (and for like two months flv support went down, until the last firmware update).
I feel sorry for all the guys with RROD though, my 360 (a year old Zephyr) is kept on the bottom shelf of my TV stand, so i'm probably asking for it. But nothing has happened so far.