No, there still isn't going to be a Zune phone. But CNET's Ina Fried lends even more credence to some of Zune's features showing up on Windows Mobile phones. She reports that Microsoft's Zune team has been split in two, with the software end now reporting to the Media Center side under Enrique Rodriguez, and the hardware side falling under the auspices of Tom Gibbons, how also heads the design end for Windows Mobile. So, the phone's not coming to the Zune. But bringing the Zune to the phone?
Rodriguez wasn't ready to offer details on when the Zune service would come, say, to Windows Mobile, but he did say to expect products within this calendar year that take the Zune service beyond just Microsoft's own line of digital music players.
Add this to what we recently learned about Microsoft's "reference chassis" for the future of Windows Mobile, and the picture is continuing to become a little less muddy. Microsoft's moving the pieces around the board, and Zune services are just part of the start of something new. The end game definitely isn't year, and probably not even for 2010. But it's clear Microsoft is plowing ahead with Windows Mobile.