Microsoft released the anticipated 4.5 update just hours ago for the Zune HD which sees support for AVIs and DivX videos, the ability to create a SmartDJ playlist on the device streaming to the media player.

There seem to also be a few tweaks that were previously unannounced by Microsoft including:

• Playlists are no longer pink on the device
• Internet favourites can be sorted by name or date or renamed
• Zune HD browser now does text-reflowing and column resizing
• New settings for the Zune HD keyboard
• Images within the browser can now be saved
• Games no longer have ads whilst loading

Thanks to @clubdirthill and @Cruleworld for the info.

I am sure all these additions are very welcome to Zune HD users and I will continue to add to the list as I am made aware of more features and tweaks.

You can update your Zune HD by plugging in the device to your PC and checking for updates, it should appear and ask to update the device.

If you are a fan of the Metro interface of the Zune HD and Pc software you might like to vote in the poll to see which 2 words best sum up the design language.

Update: Apparently there is another tweak with the devices which now feature a zoom effect when exiting an app; info came from @lordserch.