Zune Scene has the scoop from an inside source at Microsoft that a bigger, better flash-based Zune is coming out along side the Draco. The Scorpio will be packing 80GB of storage and is said to be rolling off the production line at the end of July. A launch date is still under wraps, but you can expect Zune 2.0 to hit shelves in time for the holidays. I think Europe will finally get some love with this Zune even though Zune 1.0 has yet to see the light of day across the pond.

Important Update: For purposes of clarification we feel the need to state
the Scorpio will be a hard drive based unit not a flash based unit.

New Zune Codenamed Scorpio [Zune Scene]