Contrary to previous rumors, it looks like there won’t be a Zune phone after all. Based on the latest intelligence, Zune Mobile was misconstrued to be a new mobile phone being secretly built by the Redmond camp.

What Zune Mobile looks to be however is a Zune-centric software package that’s being developed for Windows Mobile. Bbased on the latest info from reliable sources, it won’t be released as part of Windows Mobile 7 so we can more or less expect it to debut ahead of the next iteration of WM. Speculation is that it could be a special add-on that could enable Windows Mobile-running devices to function like a Zune with access to downloadable content through a similarly named online application store.

Rumor is that the Zune Mobile will be premiered at CES next month so let’s not get ahead of ourselves with all this speculation until it’s officially unveiled.

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