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Bill and the boys have decided to follow the lead of Apple with the intention of making a Zune Phone, like Apple's "iPhone". Crunchgear.com reports that this phone is likely to have a zune interface.

It will also be able to connect to a XBOX 360 and have wireless capabilities. Streaming video from a wireless link is also the feature list.

Microsoft is planning for a fall launch just in time for Christmas shopping.

-jmet