NordicHardware have sourced more details of Microsoft's upcoming iPod killer (apparently named "Zune"). Its been said that it will sport a 400MHz processor for gaming and entertainment purposes as well as being a portable music player, something along the lines of a portable xbox is what its being referred to as.

The way its shaping up thus far, if anything's got a chance of knocking the iPod for six, its this piece of work.

Zune is, if we are to believe the previous reports, the name of Microsoft's coming iPod-killer and now further information about this creation has appeared that also refer to a portable Xbox. The new information was posted at the web site Think Secret, which published an article where they walk you through the future of Apple's iPod family and its perhaps biggest competitor ever, Microsoft Zune.

Update:

Even more info on Zune has just made its way to The DailyTech, incl. pricing!

I really hope they've been misinformed though, the prices mentioned here are quite unattractive.

And now we get to the rough part. Pricing looks to be on the high side with a 30GB model coming in at the price of a 60GB 5G iPod: $399. Apple's 30GB 5G iPod is $100 cheaper. Another more interesting downside is that the device will not feature wireless PC syncing. Wireless PC syncing would be a big boon for Zune, but Microsoft has perhaps implemented some proprietary WiFi protocol in the device which would make wireless syncing impossible. USB connectivity, however, will be available for both PCs and XBOX consoles.