I was considering buying a POD X3 Live. When I mentioned this to a couple of friends of mine, they told me that I should buy an XT instead. They said they both bought X3s when they first came out only to discover that they were full of various design problems and other flaws, so they returned them and got XTs. So I was wondering have these issues since been fixed (or perhaps they were only isolated incidents) or should I do as I'm told and buy an XT instead? (And I'm aware of the price difference, and I assure you it won't be an issue.)
X3. you got everything the XT has + all the extra packages for it, dual tone. would go with the X3. (well I'm biased since I have a bean X3 myself)

Kramer Focus 3000
Ibanez ATK300
Rocktron Chameleon
Digitech IPS33B
Ibanez WH10
Korg Pitchblack
Line6 UX2
So I take it, based on your response, that any problems that there may have been with the X3 Live when it first came out have been fixed?
I would say yes since there are so many people using them now that are satisfied. I'd certainly rather have the latest and greatest. My XT Live is nice, but more is better.
Dean Icon PZ
Line 6 Variax 700
Dean V-Wing
Dean ML 79 SilverBurst
MXR M 108
H2O Chorus/Echo
Valve Junior (V3 Head/Cab and Combo)
VHT Special 6
Phonic 620 Power Pod PA
Wampler Super Plextortion
Line 6 Pod HD