Zune HD will be a gaming and application platform

The new Zune HD touch-screen media player is now available at retail, and a powerful update to the Zune PC software is free for download. For the first time, standard- and high-definition (HD) movies can be purchased or rented through the Zune Marketplace online store, and a new streaming music service on Zune.net lets Zune Pass subscribers listen to music from a Web browser. The updates to the Zune hardware, software and online services released today, combined with a new Zune video offering on Xbox LIVE coming later this fall, bring customers instant access to their favorite music and videos anywhere, across their mobile device, PC and TV.

Zune HD marks a significant step forward for portable media players, combining powerful hardware components such as an organic light-emitting diode (OLED) multitouch screen, an NVIDIA Tegra HD processor and HD Radio capabilities with software advancements such as the new Quickplay menu, a well-featured Web browser, and engaging music and video playback features to deliver a new portable listening and viewing experience. Quickplay is a new signature menu for Zune, putting customers one touch away from the content they love, such as favorites, last played items and media most recently added, eliminating the need to dig through menus to find the music, videos, pictures or podcasts they want.

With Zune HD, consumers now have the ability to store and play back 720p HD video files to an HDTV using the new Zune HD AV dock accessory. Consumers can buy or rent HD content from the Zune Marketplace, sync that content to a Zune HD device, and take it with them to play back on a large-screen HDTV in the home or on the road.

Every Zune device currently includes a built-in FM tuner, and now the Zune HD device offers the first portable HD Radio receiver on a Wi-Fi-enabled device. With HD Radio, listeners experience crystal-clear sound on more than 2,000 stations in the U.S. and have access to more than 1,000 stations that simulcast content in a variety of formats, from adult contemporary to news talk. Zune HD users can also tag songs they hear on supported HD Radio stations for purchase immediately if in a Wi-Fi hot spot, or complete the purchase later when using the Zune PC software.

Zune HD also features new casual games and non-gaming functionality such as a calculator and an MSN Weather application. Later this year, Zune plans to release free applications such as Twitter for Zune and Facebook for Zune, in addition to fun 3-D games such as "Project Gotham Racing: Ferrari Edition," "Vans Sk8: Pool Service" and "Audiosurf(TM) Tilt." Games can be added to Zune HD via Zune Marketplace over the Wi-Fi connection or when connected to the Zune PC software.

Zune HD is available from major retailers with a black 16GB version for $219.99 (estimated retail price) and a platinum 32GB version for $289.99 (ERP). Additional red, green and blue devices are available in both capacities.