Zune phone likely a reality after all

Fudzilla: With the speculation that followed the last Zune release, many of our sources have indicated that Microsoft has continued to work on a Zune phone project despite Microsoft telling everyone who would listen otherwise. Our sources are confirming that Microsoft may show off a prototype Zune phone product as soon as the 2010 Mobile World Congress.

We don't know a lot about it, and our sources say that the secrecy surrounding the project has made details scant at best. It is likely that the Zune Phone itself is based on the latest generation Zune player which features the NVIDIA Tegra processor.