ZuneHD arrives in a splash of color?

zunehd
It’s all very anonymous and tipsterish, but it appears that some promotional material for new Zune hardware called the ZuneHD has leaked onto the blagosphere. Engadget got the pictures, those rascals. The art style is very Zune, so I can see these being authentic. So what do we think the ZuneHD has in store?
zunehd-1
Well, the name is a giveaway. HD implies 720p (to me at least), but that’s kind of… ridiculous. Perhaps it’s just a generic “power up” moniker. I’m skeptical of the benefits of something like 720p in such a small form factor anyway. Still, the 1.85:1 aspect ratio screen indicates a pretty serious dedication to video. And with no visible controls (no Zune pad at least), might we be able to assume this is a touchscreen device?