Tegra is an all in one, integrated systems on a chip. Which contains an ARM CPU, GeForce GPU, HD video processor, and controllers for all other aspects of core operations (memory, USB ports, communication). This chipset is for MiDs and PMPs such as Zune.

The Zune HD will feature Nvidia Tegra enabling it to output HD Video, receive and play HD radio and feature a smooth and flawless user interface.

Tegra is capable of playing HD video upto 1080p. It’s low power consumption makes it an ideal choice for mobile device manufacturers and will provide Zune HD with an increased battery life over previous Zunes.

What does this all mean?

Zune HD will feature some of the best mobile graphics out there enabling developers to create 3D games and amazing looking GPU intensive Applications. It will also have great battery life considering the low power chipset as well as it’s OLED screen. All in all, tegra puts Microsoft’s Zune HD far ahead of it’s competitors.