Blueberry Bob writes "Just in time for the iPhone June launch, Microsoft is planning to launch the Zune 360 and 180. The 360 will be a widescreen video and music player available in 40 and 80 GB models, whereas the 180 will be a smaller device similar in size to the iPod nano. Oddly enough, only the 180 model will feature a cellphone — Microsoft believes that the combined cellphone/music player market is better served in compact players. 'Although the default behavior will be to connect the Zune 360 and 180 to a Windows machine and use the default Zune software (which is also undergoing a revamp) it will be possible to put the Zune 360 in to disk mode and the device will be treated like any ordinary USB storage device and will therefore be accessible from Mac and Linux machines too. The built in indexing in the 360 will allow you to easily search for songs, however out of the box it's not possible to create playlists on the 360 itself, they still need to be managed by the Zune software.'"