Update: Took the unit apart (to heck with the warranty it wasn't being honored anyway). Sure enough two bulging 470uf 16V capacitors. Very cheap ones. Replaced with two radio shack 470uf 50V capacitors and have been watching my sling happily for a couple of hours now. Could not go longer then 10 minutes before. No more freezes.
Anyway, thanks to the guys at placeshiftingenthusiasts.com . Now these guys know what they are doing.