The Tegra chip solution has so far been quite impressive from a portable media player standpoint, if it holds true to what was promised and shown.
1080p, 30 hour, video with 100 hour audio. That would clearly set a Zune Phone
head and shoulders above all the competition as Apple will scramble to get nVidia to cough up some Tegra chips to cover their serious loss against quite a formidable foe.
This would be a sheer awesome maneuver for a Zune Phone period.
If it came to fruition and got a release date in 2009, the days of the old smartphones and the iPhone are numbered.