Rumors of a Zune phone have floated around forever, but we've always thought it would make more sense for Microsoft to start by simply making a Zune player for Windows Mobile -- a plan Steve Ballmer casually confirmed today in an interview with CIO Magazine. Sure, Ballmer's hinted at Zune on WinMo in the past, but those were just hints -- not like today's pronouncement that "the Zune software will also be ported to and be more important not just with the hardware but on the PC, on Windows Mobile devices, etc." That's a pretty solid declaration of things to come, if you ask us -- too bad he didn't give a time frame. Now, about that 360 integration.

[Via WM Power User]

You've seen the PR, now check the videos. The zunitedcommunity just posted four introductory videos straight outta Redmond -- three demonstrate the new WiFi Marketplace, buy from FM, and Channel features in the 3.0 firmware while the fourth demonstrates the updated desktop software with new Zune mix, improved Now Playing view, and new Picks view auto-populated to reflect your listening habits. CNET News also had the chance to get some hands-on time courtesy of Zune's Joe Belfiore. Joe confirms that WiFi access to Marketplace only works from hotspots that don't require a browser-based login (duh) while once again hinting at future Xbox and Zune integration since "both stores are based on the same technology." He also confirms that the 3.0 firmware will work with all Zune devices as we expected. Curiously, when asked about accessing your Zune music collection from a phone, Joe responded by saying, "that's another really interesting device that you may someday see us do work on but nothing that we're announcing here today." Funny response since CNET asked him about accessing Zune music from a phone, not a Zune phone. See all five videos after the break.

[Via Zunited, thanks Ryan and Milo]

Someone clearly didn't want Microsoft fans being left out at this time of extreme Apple coverage. In an interview with SFGate, Robbie Bach manages to deftly deny the rumored Xbox / Blu-ray match-up, deny a Zune Phone is coming anytime soon (although he intimates Zune software may come to phones), but still cleverly suggests that a Zune Touch could be in the offing. Of course, by "cleverly suggest" we mean he mentions the possibility of a device with touch capabilities, which is like saying Dell might release a laptop with a keyboard. Is that the device pictured above? No silly, that's just someone's Photoshop work. Steve Jobs -- anything to say about this?

[Via wmpoweruser; Image courtesy anythingbutipod]

The funkiest and freshest dude in Redmond, J Allard, has once again reached out to the people and dropped straight-up knowledge in regards to Zune Phone rumors. According to the report, during an interview with Reuters Allard shrugged off the chatter, saying that the company was focusing on the new Zunes at the present time. It would have seemed like a total dead-end, but the Microsoft exec then noted that the Zune was built on top of Windows Mobile, and added that the giant has, "The flexibility to take these in a different direction where [sic] our customers, our partners and we are ready." Sure, some new product would be nice, but let's be honest folks -- why would you need to make a phone when everyone is running your software anyway?

It's probably not shocking to anyone that the Zune hasn't exactly lived up to the high hopes Microsoft had for it, and at the recent Citigroup technology conference in New York, Mindy Mount -- corporate vice president and CFO of the firm's entertainment and device division -- noted that she'd "give it a B-," and also stated that it was a "solid effort for the first year." More intriguing, however, was her comments on the future of the Windows Mobile OS, and while she was tight-lipped in regard to RIM acquisition whispers, she did hint at the possibility of a tweaked system to compete with Apple's iPhone interface. Reportedly, Mount stated that Microsoft "identified [Windows] Mobile being more integrated with photos and music," and concluded by proclaiming that it was "a natural thing to have in its product roadmap." Of course, this corporate speak can't really be regarded as much more than just that at the moment, but feel free to make of it what you will.

[Via Zune-Online]
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There's some buzz going around right now about a "Zune phone" filed with the FCC -- we did a little extra digging, and we're not really convinced that's what's at hand. We know a Zune phone is in the works, that much is abundantly clear, but what passed through the FCC was a pre-approval application document that ran down a list of questions the FCC had for a CE "coalition" consisting of Microsoft, Dell, Google, HP, Intel, Philips, who are apparently in on some device together. (Strike one. You really think Microsoft's gonna collaborate on the Zune phone? And with that many non-cellphone carrier companies?) From what we can tell, it'll be wireless (duh) with DTV signal detection and transmission (i.e. cognitive radio), and BPSK, WPSK (and likely QAM) modulation and OFDM. Doesn't mean a lot to most people, we know, but the FCC plainly asked the consortium to describe the product's purpose; the answer was "To provide consumer broadband access and networking." (Strike two.) And then there's the above diagram which shows a computer connected via Ethernet to a radio hub system with 802.11g and outbound "wideband" uplink. Did we mention the words "Zune" or "phone" appeared precisely no times in the document? (Strike three.) A Zune phone? We think not -- yet -- but we'll know better when the filing actually hits the FCC in the near future.