Microsoft Zune prices dropping just in time for the holidays

Microsoft introduced the third generation Zune two months ago and rolled out the 3.1 update today, but electronista has just confirmed that the Zune is dropping in price. How much you ask? The 4GB is getting the biggest drop and will end up with a new MSRP of $99 while the 8GB will now sell for $139. The large-ish 16GB flavor is dropping by $20 to $179. All these prices should go into effect tomorrow, Wednesday, as the iPod vs Zune wars heat back up. The 4GB Zune is tempting now.