From my experience with the Black console, the Wii has three color lights:
Green - system is on
Yellow - system is off but in Standby Mode. This means the Wii Connect feature is turned on and the console is able to receive internet updates to the weather and news channels along with Emails from Nintendo (disk slot will flash blue when a Nintendo Email is received)
Red - system is off and Wii Connect is turned off.
My console is kept in stand-by mode, so when I'm not playing, the light is Yellow. But if there is a power interruption (I live in Florida, home of the infamous power company Florida Flicker & Flash), the Wii will reset and the light will be red. Once I turn the system on and then off, the light returns to Yellow and stand-by mode.
Sounds to me like your Wii is working perfectly and that you just have Wii Connect turned off.
Mendon
Edited by Mendon, Wed Dec 29, 2010 8:14 AM.