This took some time … I did experience some device connection problems when hooking up to my MCE. Let’s see if this update solves my problems …
Zune Insider announced that there is a new firmware update for the Zune, version 1.3. Fixes in this release include a skipping problem that some users were experiencing, improved reliability with device detection and sync’ing, and some changes to the FM tuner so it doesn’t drain the battery in sleep mode.