im getting a very similar problem with X chip on a v1.4.
Press power button. green. reboot. green. reboot. green. reboot. green/red no video.
I removed X chip tried it in a version 1.0 xbox. I think the chip is bad. reattached my matrix and the 1.0 works fine. The v1.4 still frags with and without the modchip attached. I checked allignment 1000 times. One such time I got an electric shock from the heat sink on processor of all places. This was no ESD. this was the power supply somehow. That is very messed up. Anyone got any ideas.