In an official announcement yesterday, Microsoft confirmed that the rumoured Zune HD would be coming out this fall. The new multi-media device does away with the circle button for a full-on touchscreen. The device is also a hell of a lot thinner, and dare I say, actually sexy. Yes, I said a Microsoft device was sexy.

As rumored, the new Zune connects to XBOX Live Marketplace, and there are some hints that there may be apps and games on the way. But is Microsoft too late with the design overhaul? Even with HD radio, video, touchscreens, and unicorns, can the Zune stand up strong and tall against both the iPhone and iPod Touch?

via Engadget