Will Microsoft make a Zune 160?

I was just wondering if the 80 GB Zune is the end of the line or if MIcrosoft is actually going to try to compete with the new iPod.

Will Microsoft make a Zune 160?adware remover

I believe that at the moment Microsoft is working on a handheld gaming system, but thats not to say that the 80 GB Zune IS the end of the line, but one must keep in mind that Microsoft doesn't have to compete in the Handheld media players catagory, because they make enough money selling other products.