Microsoft has finally confirm the Zune HD, with Microsoft confirming the handheld media device’s existence and it’s intent to go head to head or “touchscreen-to-touchscreen” with the iPod Touch this fall. Engadget has full details on the new Zune, including the announcement that Microsoft is doing away with the current Xbox Live video marketplace in favor of the Zune marketplace.

In the latest Full Moon Show podcast from Insomniac Games, it was revealed that the game is nearing its alpha stage of the development cycle and will be at E3 2009. Furthermore, internal play testing has already begun. The level, Krell Canyon, will be shown at the convention.

Details from the July issue of OXM have been leaked onto the Internet, the issue is full of Mass Effect 2 information along with some DLC talk for the first Mass Effect.

Cohort Studios, a Dundee-based developer of Sony software which is responsible for titles such as Go! Puzzle, Buzz! Junior: Dino Den and Buzz! Junior: Ace Racers has just announced that they now have a string of exclusive and as-yet unnamed titles in development for release on Playstation 3 throughout the year. One of them, a PSN title, has been approved for release and the team are awaiting a date and publisher details. Their main project will be an original PS3 title and will receive its announcement and first showing at E3 this year.

Yet another rumor started today, as there is no official confirmation. But PlayStation Lifestyle caught word that Sony is set to not only reveal the PSP Go at E3, but another hardware redesign will be debuted as well. This time from the PS3, now to me if the rumor is true it might signal a clear price drop.

According to a reliable source, who like to remain anonymous, will Sony during E3 to announce a new feature for the console. This feature will be immediately available by a firmware update during E3 gelaunched will be.