The Zune HD is a big disappointment to me. As far as HD reception is concerned, I find that dropouts occur frequently when I walk behind my house which is about 25 miles north of Midtown. My experience with HD radio at my location even with a dipole has been fine. When I use it in the car with the car kit reception is even worse. The signal dies around the sewage treament plant on the west side highway in NY due to multipath and is basically worthless outside of Manhattan. When it does work in my car the audio is wonderful. listening to WNYC's HD 2 channel, it's immediately apparent that the sound quality is much better than analog FM.
Navigating MP3's is a nightmare. It's not a user friendly system in my opinion. I have about 5,000 songs loaded and it can take 2 minutes or more to locate a song thanks to the fact that if you search through Genre, you can then only search the the album subheading and if you search through song or artist, you have to deal with small postage stamp sized icons, not all of which provided much information.
Internet access would be great if it allowed you to stream audio and video over wi-fi. It doesn't and that's a real limitation, in my opinion.
Tje audio level is too low to compete with outside noise on a city street, even when set to 30 (It's highest output level),
It isn't all bad however. The video image is far superior to the I-Pod and my movies are now shown with the correct aspect ration. TV shows are still seen in the older square image fashion.
Ibiquity should work a deal with Apple and get their chip into the new I-Touch.