Some Interesting news here, the zune software and hardware team have split, hardware merging with mobile communications business group, and software merging with the Connected TV organization. Here's what Zuneinsider has to say:

If you’re pressed for time, here’s the short version:

• We are combining the Zune software team with the Connected TV organization (Windows Media Center, Mediaroom) to create a single group focused on creating software and services that enable great entertainment experiences across the PC, TV, mobile phones and Zune devices.
• The Zune device hardware team joined the mobile communications business group to create a center of excellence in portable hardware. This will bring people who live and breathe hardware together.
• The priority now is to focus on delivering against our current product roadmaps across each team in the new organization. That means new software, services and devices for Zune customers.

In a nutshell, this is an extension of the way we’ve been taking the business for some time. We’ve said before the strategy for Zune is to provide a great entertainment experience across multiple screens and devices and this move will help us deliver that. We’re looking at how the powerful features of Zune can be combined with the work in the TV space to deliver a broader entertainment experience.

As Enrique put it, “The goal is to make non-gaming entertainment a first-class citizen within Microsoft's business, that means building better software and gaining scale a little further out than just in Redmond."

For our current customers, this internal, organizational adjustment won’t result in any changes. Like I said above we’re still committed to delivering the next wave of the Zune hardware, software and services – and we will do so this calendar year, so stay tuned.

Zune has made it clear that this change is not in fact a negative one, and hopefully will lead to even better integration between zune and other microsoft products. This year's major zune update is shaping up to be very interesting.

Yes, you read right. There is a portable zune software available now, thanks to the work of Lucifer at ZuneBoards. He did say it might require .NET framework and other general updates. I myself have yet to test it (downloading now. its a 250mb file) but will leave a review in the comments.

link:http://www.zuneboards.com/forums/completed/35921-portable-zune-software-3-1-a.html

I've already been singing the praises of Zune Pass for two years now. I loved Yahoo's all you can eat downloads and I really love Zune Pass. Now it's even better. You can "own" 10 songs per month with Zune Pass. Basically, your $15/mo is buying 10 songs now, but an added bonus... you can download all the DRM content you want too. Nice.

Effective Thursday, the software company's modified subscription plan would allow owners of Zune to keep 10 tracks per month, which has an estimated value of $10. The users can also add those tracks to their permanent collection.

The company said agreements have been signed with the big four music labels -- EMI Music, Sony BMG Music Entertainment, Universal Music Group and Warner Music Group -- and also with a few independent distributors.

Source : Rueters via Email Tip from Robert (GotZune Reader). Thanks Robert.

[Updated: 9/18/08 - Added Zune media collection reset tool]

Hopefully everyone has smoothly gotten their Zune software to update without any issues and we are all busy spending time playing with them.  But are there any of you having problems with the Zune update?

There are a few update requirements that are needed for the new Zune software to work, such as:

• .NET
• Doctor Watson 2.0
• MS XML
• Windows Update Agent
• XMLLite
• Wireless LAN API
• Image Mastering API
• An unknown knowledge base download KB933720
• Windows Media Framework

What else can you do? Check after the break.

(more...)

Yep, run the software update check and you'll find that the 3.0 update is live!  5AM EDT (I know, I'm crazy for staying up to wait for it) and it's yours.  Go get it now!

Eliot Van Buskirk from Wired.com has has recently had a sneak preview of the new zune software, and wrote an interesting article comparing it to Apple's Genius. Apparently the new Mixview function makes Genius "look like a blast from the digital music's past."

While iTunes serves up a text list of recommended songs within your library and from the iTunes store, adding to the more basic recommendations its MiniStore feature used to make, Zune reinvented the recommendation concept by collapsing artists, albums and fans into the same recommendation engine, more accurately mirroring the way people think about music.

He goes on later to explain,

Granted, I'm not referring to the accuracy of one system's algorithms versus the other's; there will be plenty of time to compare them on those merits once the new Zune software is released. But in terms of breadth, layout and social utility, Zune sends Genius back to school.

To read more, check out the full article here.

It seems as though the zune team really got this new function right, and I don't know about you all, but I'm quite excited to give it a try in just 3 more days!

Well, it just looks like Zune may be taking a slightly different turn than some were expecting. Matt Rosoff from Cnet has some knowledge about the zune future plans, and gave us some hints with this little blurb in one of his recent posts.

As iPod fans will no doubt note, 120GB is still short of the 160GB offered by the top-capacity iPod Classic. I can't say much, but I've seen what Microsoft's planning, and befitting its status as a software plus services company, the real advances aren't going to be in the Zune hardware, but in the Zune software and associated services. Apple makes great devices, and so far iTunes has remained ahead of the Zune software, but Apple has sometimes fallen short in the services arena. Microsoft has a huge challenge taking on the iJuggernaut, but they are far from giving up. That's good news for us--competition means better products from all sides.

This obviously still leaves room for speculation, and only time will tell what we end up seeing. In my opinion though, the software always has been the obvious weak point, so putting extra effort into making it better,(and maybe speeding it up a bit..) is quite important. Hopefully we'll have some more news soon.

I'm only beginning to get into setting up Auto-playlists for myself, and if you've never tried it or played with the tool, it can be a little daunting. Thankfully, Matt Akers over at the Zune Insider blog has a whole gaggle of tips, tricks, and hints to setting up some great playlists in no time at all. After reading this, I'm definitely going to start playing with this more. Go check it out!

This hack was posted By Fez of DarkZune. His description of the hack is as follows:

"Introducing zInternational,
this hack:
-Unblocks Marketplace for the latest Zune Software.
-Lets you update your Play count in Zune Social.

After the latest Zune Software update the Zune Marketplace was blocked for International Zune users. This took away their ability to use the Zune Pass and download Music, Videos and Podcasts. Aden, Administrator and part of DarkZune's Hacking Team worked hard and got this hack ready.

Download Here"

NOTE:The download link requires registration to DarkZune.

Thanks to Ianko Dimitrov, a reader of Got Zune, we've added a some Zune backgrounds to the gallery in the Nature, Anime, and Cars section.

If you have Zune Backgrounds you want to submit, you can log in to the gallery and add them yourself or if you have a bunch, Zip them up by category and email them to me.

Update:
Soccerfreak sent some more in today as well. Check them out in Nature, Abstract, Zune, and Sports.