The upcoming Zune HD actually looks interesting. From a hardware perspective the device is slick. From an interface perspective it definitely looks like Microsoft has stepped up their game. There is, however, one aspect of the device that is especially impressive…

Word on the street (thanks to Best Buy’s inventory system) is that the device will sell for $220 for 16GB and $290 for 32GB.

Compare that to the current generation of iPod touch which runs $229 for 8GB, $299 for 16GB and a whopping $399 for 32GB and, at least from a pricing perspective, there is no competition between the two.

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