The iPod whipped the first Zune. It wasn’t even close.

Now it’s time for round two and in an effort to differentiate the Zune, Microsoft claims it has added new unique features, enhanced it’s store and re-engineered the Zune hardware and software and the associated digital music store to make them easier to use. The company reworked the device’s navigation button and dropped one of its signature colors, brown, from the list of options. The Zune will be available in black, pink, green and red.

New features for fall include the following:

• Wireless sync. This is one area where the Zune should be able to really differentiate from the iPod if Microsoft can get it right. The new Zune devices will automatically sync over consumers’ home wireless networks . Syncing with the collection on their PC happens via a home wireless network and will start on its own when the device is placed in its dock or plugged in to charge. Alternatively, the sync can be started manually.
• Extended wireless sharing.In a move that sounds good to me, the new Zune will allow you to share select full-length songs, albums, playlists, pictures and audio podcasts from device to device. Consumers can listen to any song received up to three times with no time restrictions, and they can also pass along songs to other friends who have a Zune.
• Import recorded television content. The new Zune software will import broadcast content recorded on Microsoft Windows Media Center for Windows Vista Home Premium or Ultimate, so consumers can sync them onto their Zune media player and watch the them on their Zune
• The Zune Marketplace online store has been restocked and redesigned to make it easier for people to find what they are looking for. The Zune software has also been redesigned with a new look and feel. In addition to offering more than 3 million songs, the updated version of Zune Marketplace will launch with thousands of music videos for sale and over 1,000 of the top audio and video podcasts available for free.
• Zune Social Microsoft is creating a social-networking site, Zune Social, to encourage the sharing of samples of songs online, even for fans who do not own a Zune player. Members of the network will be able to use a small application on their computers to display which songs they have been listening to, and that information can be posted on certain Web sites outside the network or sent by e-mail to friends.

If these new features and web sites are executed well they should make the Zune at least a credible alternative to the iPod. It’s good to see that Microsoft is still working on this project and is pushing the envelope in areas where the Apple is not. I look forward to next wave of battle.

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