Microsoft has always trailed behind Apple when its comes to portable music players and they are playing catch-up once again. Microsoft made the Zune to compete with the Ipod but has no true competition for the Iphone or Ipod touch. There has been a recent leak and it looks like microsoft finally has created a competitor.
The design itself appears to be very much like the ipod touch and will have many similar features. It will be completly touch screen, wi-fi enabled, and have the same sized screen. Microsoft wants it to be some sort of a bridge device between the Zune and 360 so the project has been named xYz. The new Zune will have two models, a 16gb and 32gb. The Software will be windows mobile 7 but have a interface similar to the NXE. Its biggest advantage over the Ipod touch is the ability to play HD video and interacte (somehow?) with your xbox 360 and games. There are other features that are still unconfirmed like the small whole on the back of the device. Is it possible that it has a camera? That would be a nice feature to dangle above the Ipod but Microsoft has been known to dissapoint in the past so no need to get too excited. The new handheld is schedualled to be released this fall and the phone version (project pink) is not yet schedualed.
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