From ClicZune
Zune MP3 Player: Zune Software Update?
"Microsoft didn’t mention it, but the Zune software has been updated along the Zune firmware. The version 1.3.5728.0 is now available for download. You have to right click on the Zune logo (top left of the window), select “about Zune” and then check for updates. There is no mention of what as been changed but it seems to work fine. Since they work on sync performance in the firmware, it probably means Microsoft did the same thing on the software side."
On my Zune Software to
update the software
Right click on Zune logo (top left window)
select "help"
select "check for updates"
(Be patient, it might take a little while

)
If you haven't
updated your Zune to Firmware 1.3
With Zune connected to PC and zune software started...
Right click on "your zune name" (on left panel)
Select "Check for Zune Device Updates"
Make sure and wait until screen says update completed before you disconnect
I hope I haven't confused everyone
Susan