I for one think it’s fake! I mean why base a new Zune on the old Zune30 exterior casing?? Worse thing is, this is being spread as legitimate news by blogs and websites right now.
If this is confirmed true then I'll be damned. Microsoft definitely needs to fire people on the Zune and Xbox division as they seem to be moving backwards rather than innovating.
Good photoshop skills but baaaad device prototype. (CAD skills?)