Update: No Zune In Sight

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Microsoft is rumored to be launching a Zune phone at the 3GSM conference in February ‘09.
Microsoft acquired Danger, the maker of the Sidekick, back in Feb. ‘08 for $500mm. Could Danger and MSFT combine to create an iPhone competitor?
Maybe. But Microsoft is playing catch-up big time, laying back to survey the playing field while Apple is gobbling market share.
Will the phone use Windows Mobile? Ehhhh, hopefully not.
Even if its announced in Feb., the Zune phone most likely won’t ship until months later. By then, Apple will have released the iPhone 3.0 in a holographic form that takes up no space in your pocket, drives your car, and runs Crysis.
The Zune phone rumor isn’t new. For anyone who remembers, this thing was reported by CrunchGear to be in the works back in Feb. of ‘07 with sweet features like the ability to stream video from Xbox 360s, not to mention a holiday ‘07 release date that “seems to be certain.” Woops.