Rumor: Flash-based Zune, Zune 2.0 by year's end

Microsoft's Redmond campus has sprung a leak and there's info about the next wave of Zunes slowly trickling out. Zune fan-site (who knew such a thing existed?) Zune Scene claims to have accosted a member of the Zune team in the wild and here's what they revealed: both the second-generation Zune and the flash-based Zune will be out in time for the holidays. The Zune 2.0 will allegedly be a thinner version of the existing Zune but with a bigger hard drive. Meanwhile, the flash Zune will support video, sport a screen that will cover 3/4 of its front (the dimensions are  3" by 1 1/4" by 1/4"), WiFi and the same "doubleshot" finish of its bigger brother. If priced competitively enough, the flash Zune could give the iPod Nano a real run for its money, what with the video support and WiFi. According to the anonymous employee, Microsoft plans to ship 2.4 million next-gen Zunes this holiday season, with 2/3 of them being the flash ones.

For more Zune rumors:
- see this Zune Scene post