Microsoft announced that a new Zune HD will be coming--one with 64GB of storage. Currently, there were only options for 16GB and 32GB. The 64GB version will go for $349. As for the current models, Microsoft is slashing prices a bit. The 16GB will now go for $199 when previously it was $219 and the 32GB was (I believe) $299 and will now sell for $269. So let's compare the pricing to a worthy competitor, shall we?

                Zune HD          iPod Touch
16GB         $199                    $199
32GB         $269                    $299
64GB         $349                    $399

Hm, seems like Apple may have a little competition in the pricing category. While the iPod Touch does have over 140,000 apps, bare in mind that the Zune HD has an incredible HD OLED display, and its own nice features and slick design that can make it a fairly worthy competitor.