Based on the fact that I have a good idea as to who this friend is, I'd say that it's an extreme over-statement. It's true that most of the new generation consoles (at least I know the Wii does) has a "Burn-In Reduction" option, but all it does is dim the screen after a period of non-use. If you don't play it for an extended period of time, I think you should be fine, especially if he's willing to play the 360 on it. Also, if it's an LCD projection, I'm pretty sure it holds no threat.