While yes, the Zune HD is a far improved device over its predecessor, it's still way behind the iPod Touch in nrealy ever category besides screen resolution.
Also, I work at Best Buy and we have tons of both SKU's sitting, waiting to be purchased. We're out of new iPod Touches though in the 32 and 64 GB SKUs, only a few 8 GB's sitting.
Zune apps are terrible, you still can't use it on a Mac, and the thing reminds me of the Sixaxis controller when the PS3 debuted. Too light, it feels easily breakable and like a toy, whereas the iPod Touch (and now the Dualshock 3) has a solid feel to it.
I know it's preference, and that's mine.














