According to TUAW, "a little bird" tipped them off to an upgrade to Apple's .Mac service. The upgrade would coincide with the release of the iPhone 2.0.

 

The rumored update would bring:

 

• Full over-the-air syncing of calendars, contacts and email.

• .Mac syncing with Windows machines.

 

Add in the recent rumor that .Mac will be getting push email service, and you have a service that would rival Exchange while working along side the business email client.

 

Huzzah!