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Information is slowly getting about about the ZuneHD and what to expect from it. The most interesting is the content delivery of HD quality entertainment that will potentially be offered via Microsoft Mediaroom.  Although there is also speculation over Microsoft building a type of copyright monitoring authority into the ZuneHD device that would pay close attention to your content.

If true this will definitely create a content offering with quality unlike that offered on other devices.  There is no information as of yet on whether the output to TV will be able to connect to an HDTV.  Now they should consider how to add Netflix content streams to the device as done with the XBox360!

Citing unnamed sources within the company, Neowin claims the Zune HD will sport a 3.6-inch multi touch OLED display and an HDMI connection on the side to stream content directly to TVs. Nvidia’s Tegra graphics chip for mobile devices will be powering the new Zune, which will come in 4GB, 8GB, 16GB, 32GB, and 120GB versions. Other features include an HD Radio, support for wireless connectivity and a web browser.

The Zune platform is also being completely overhauled and further unconfirmed rumors suggest the updated device would even support “3D Xbox Games,” but it is unclear what form this will take – perhaps XBLA titles? We’ll have to wait for an official announcement, but if rumors hold true, Microsoft could have a much more competitive device in its hands this time around.

[SOURCE: 'Confirmed' Zune HD specs hit the web - TechSpot News]