Ever since the iPhone came out, rumors have been rife about Microsoft entering the scene with a phone based on their Zune series of personal media players. That was a long time ago and now fresh rumors are circulating that the Zune Phone may in fact be coming this month!

According to the guys at MuyComputer , the Zune phone will debut at the Mobile World Congress ( MWC ) later this month. Their report claims that the device will definitely be powered by an NVIDIA Tegra processor. Gizmodo also seems to be pretty sure that the rumors are true. Here are the specs known so far.

The Zune Phone has a 480×272 screen, weighs 2.45 ounces, has HDMI output capability and will run on Windows Mobile 7, the upcoming iteration of the WinMo OS. WinMo 7 is already speculated to release at the MWC, and the Zune Phone will be the obvious candidate as the flagship device.

Via SlashGear