Zune Phone to Challenge the iPhone

After the recent launch of the iPhone many are wondering how the Zune team will respond. In the past, tips about an upcoming Zune Phone have been slipped by microsoft employees. One possible incarnation of a Zune Phone could be a flash based device which incoporates the Zune marketplace library.
Little is known about the release date and price of the Zune Phone, however, rumors indicate release of a flash Zune is coming this fall. With the moderate success of the original Zune, it appears they are betting the farm on the smaller flash device. A larger Zune with 80gb storage capacity is also expected this, including new zune accessories and cases. Discussion at the Zune forums is buzzing over the possible success of the new devices and inclusion of zune games.
Zune is currently ranked as the second best selling mp3 player brand behind the ipod. If the Zune can be as successful as the original xbox became stock holders will consider it a success.