I had the same color bands issue several people seem to have here with my 8700. Luckily for me, it was just before the 3 year date and so was within the AmEx extended warranty period (1 additional year after factory 2 yrs). Repair estimate was almost $2,000, original cost was $2,150. AmEx ended refunding the amount after I sent them the defective projector. Quite disappointed with the Epson experience.
I don't know about the Epson experience, but this is not a problem isolated to Epson alone. The PLC can move in ANY LCD projector. In fact, that's how I discovered the problem.... in a highly spoken of Panasonic.
Now the short LAMP life in the recent crop of Epsons.... well, that's another story. I don't know if it's Epson or the fact that everything is being outsourced to China and they are laughing their asses off at us Americans for buying their cheap, short lived CRAP!