It's official: www.zune.net/zunehd
Coming: September 5th, 2009.
WiFi with IE-based browser.
AMOLED screen, 3.3", 480 x 272
I've always wished someone would make a device that combined the best features of the iPod Touch, the Cowon S9, the Samsung P3, and so on.
This ZuneHD may come very close. It's got the amazing screen of the S9. It's thin like the P3. It supports videos up to 720p (1280 x 720) and can play them out via an accessory dock to your HDTV. Wifi and Multi-touch of the iPod Touch.
Yes, I'll probably get one.
And there is an indication the Zune 120/80 will also get a firmware update that brings, perhaps, a browser to it. ;)