When it comes to cell phones, Windows Mobile is usually the case study in what not to do for mobile technology. That may have all changed today with the announcement of Windows Phone 7 (aka the Zune phone). As the iPhone wowed the world 3 years ago, the many latecomers have addressed the stranglehold that Apple has on their software and features, and if they don’t make some improvements, Microsoft (yes, not a typo) may be in the dominant position to challenge.

I didn’t think I’d ever say it, but I’m definitely interested. iPhone users have done without some pretty basic features because the benefits outweight those costs, but soon you may not have to make that sacrifice.

Check out some of the coverage from today’s announcement and decide for yourself.

I’m sorry, Cupertino, but Microsoft has nailed it. Windows Phone 7 feels like an iPhone from the future. The UI has the simplicity and elegance of Apple’s industrial design, while the iPhone’s UI still feels like a colorized Palm Pilot. – Gizmodo’s Microsoft Has Out-Appled Apple

Windows Phone 7 is connected in the same sense as Palm’s webOS and Android, with live, real-time data seamlessly integrated, though it’s even smoother and more natural. Live tiles on the Start screen are updated dynamically with fresh content, like weather, or if you’ve pinned a person to your Start screen, their latest status updates and photos. – Gizmodo’s Windows 7 Series – Everything is Different Now

The OS is also heavily focused on social networking, providing integrated contact pages which show status updates from multiple services and allow fast jumps to richer cloud content (such as photo galleries). The Xbox integration will include LIVE games, avatars, and profiles, while the Zune end of things appears to be a carbon copy of the standalone device’s features (including FM radio). – Engadget Microsoft is Playing to Win

Watch the features promo video below.

Won’t be available until Christmas 2010, so Microsoft made the first move. How will Apple respond? Hopefully the iPad wasn’t their response.