To _BLITZ_ - Looked at your picture. You have the MBL laying on its side. By doing this you are potentially defeating the fanless cooling mechanism which depends on the chimney effect of cool air being drawn in from the bottom and exiting the top. I can see the benefit of the horizontal orientation - in that is is less likely to tip over - but I would be afraid of heat damage.
Blue Light - Red Light - Then No Light - but drive is accessible and working fine - how to fix LED's
No, it’s ok with the heat. I checked the drive several times, it’s not overheating. My problem was the vibrations induced by the drive when seating up and on a hard surface so I put a piece of cartboard under it to disipate the vibrations and also not to tip over (It’s very easy to tip over if I let it sitting up and on a cartboard). Also I thought that it’s a natural position for it’s HDD to work (now that I’m thinking i don’t know if HDD inside is in the correct position or upside down 
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As long as you are aware that there could be a heat issue if running the drive in a horizontal position and that you are keeping an eye on it - that should be fine. I agree that the drive does vibrate quite a bit and is very prone to tipping. I put stick-on rubber bumpers on the bottom and then sit the drive on top of a mouse pad. This absorbs most of the vibration. I keep my drives in a remote location in the house - where they aren’t likely to be heard - or tipped over accidentally.
A little bit of blu-tac on the feet may help with both issues, keep it in place and cut down vibration.
WD sent me a replacement drive. The drive and LED appears to be functioning correctly. I was really expecting to receive a refurbished unit - however - they sent a brand new drive in a retail box - complete with cables and power adapter.
One item of interest that I noticed - the firmware version is “MyBookLive 02.32.06-006 : Core F/W” - a new version of the firmware that does not appear to be available for general download. My other MBL drives report that the firmware is “current” on version “MyBookLive 02.32.05-144 : Core F/W” - even after checking for updates.
