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Is Zune Phone in the Works?

Here’s one to file in the “it was inevitable” folder.

Rumors have been swirling for months that Microsoft had plans for an all-in-one, digital music playing phone based on the Zune Wi-Fi personal media device. Today, CrunchGear was tipped that Microsoft execs were meeting to hammer out details and develop strategies for a much anticipated Zune branded cell phone.

It was reported the phone, which would be direct competition for Apple’s soon to be released iPhone, would be a smartphone inter-operable with the Zune environment, but would probably not run on Windows Mobile OS, or be touch screen like the iPhone. Instead, it would feature an interface similar to the current offerings of the Zune music player.

The Zune music player was released last year to a somewhat lukewarm reception into a market heavily dominated by the Apple iPod. It features a wireless transmitter allowing transfer of audio and visual media between Zune users. The new Zune phone will reportedly offer similar connectivity, allowing sharing of music and video selections with other users via Wi-Fi or Bluetooth, as well as the capability to sync and stream video from the Xbox 360 gaming system. Also likely is the ability to purchase music for direct download to the device.

While the iPhone is set to be released in June (or sooner, if you believe the hype), projections for release of the the Zune Phone suggest availability just in time for the 2007 holiday season.

When asked about the possibility of a Zune Phone at a press conference today, Chris Stephenson, general manager of global marketing for Zune, told reporters, “A Zune phone is definitely part of the future of this brand.” He did not give specific details.

Related Links:

Zune: An MP3 Player With Sharing Capabilities

Cell Phone MP3 Players

Apple Announces the iPhone