We knew it was coming, thanks to an inadvertent leak from Microsoft itself, but the company this morning confirmed plans for a high-capacity version of its Zune HD portable media player, with 64GB of storage, at a price of $349.99. Microsoft also announced a $ 20 discount for each of the current models of the Zune HD from 16GB version for $ 199.99 (from $ 219.99) and 32GB version for $ 269.99 (at from $ 289.99).

Combined, the moves make the Zune look pretty good compared with Apple’s iPod lineup, although direct comparisons between the two product lines are a little misleading since all features (eg, applications) available on the iPod touch in those days. That said, Apple iPod Touch 64GB sells for 399 USD, and 32 GB version for 299 USD.

Apple iPod Classic 160GB sells for $ 249.

Zune HD, which was well received by reviewers of technology is expected to be available for sale in the form of 64GB, April 12 through ZuneOriginals.com, Platinum, Black, Blue, Red, Green , purple and magenta.

Microsoft Expands Zune music software and service to other devices, such as the upcoming series Phone Windows 7, but the Zune is far behind the market share of the iPod.