Victor-
This is a far-too-common problem with '98-'00 S/V/C 70's. The bulb to socket connection burns at the point of contact and creates a high resistance. The correct way to fix the problem is to replace the bulb and socket and (IMO) use a little di-electric grease on the bulb base. Volvo is about to release a campaign that replaces the blade-base bulb and socket with the 'old' style round base bulb. The current bulb socket is discontinued so until you get the letter from Volvo, all you can do is replace the bulb and hope the toasted socket works until the real fix is available.
Dave the Volvo Tech
'99 V70R AWD, '93 854 GLT, '82 242 DL
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