Rumors in the form of pictures from Microsoft have revealed a new handheld device that posed a threat to the iPod Touch. The Zune HD is rumored to be a full competitor to the iPod Touch, which coincidently has been on the market for almost a year and a half. Microsoft’s entrance to the market is typical when considering it’s late entrance with the iPod challenger — the original Zune. While the Zune had wifi features, and a larger screen than the iPods at the time, the wifi feature was never truly exploited to allow internet browsing. The Zune HD is rumored to allow full internet browsing using a dedicated internet explorer. Hopefully it will also allow for applications so the faster opera browser can be installed.