Yes, sorry for the late response. I was finally able to get it to work by trying various USB ports (there are 8 on this sys.) and by disconnecting 2 USB drives. I've never been thrilled with the cracked port ID vs driver system designed by Apple for USB. (Yes, Apple designed USB and set up specifications for behavior). This seems to be yet another manifestation of their lack of foresight. (see references to Ping and exposed antennas)
I suppose if I knew exactly which .dlls were associated with the Zune I could clean them off and get it working on the port of my choice.
Zune Tag - therealstlbud