Every console has it's faults. All Xbox 360's have a 33% chance of receiving the "Red Ring of Death" at any given time. Fortunately, this PLAYSTATION 3 "Yellow Light of Death" is more of a 1% chance.
A member of GameTrailers reported this in video form on the site. He believes it may be due to a hard-drive problem because of the clicking noise. I would recommend trying to replace the HDD with a better bigger one. If not, call Sony.