So it looks like rumours of Google giving select employees fully operational GPhones are entirely true. We're hearing reports of the phone looking good and being fast.
Here's what we know: Android 2.1 on HTC-built hardware, Google-designed experience, available online & unlocked (probably) in January 2010, called Nexus One, capatitive touchcreen, no keyboard and, according to reports, very thin and very pretty.
Android has been picking up some serious momentum and while Google will need to work hard to reach Apple's 100k strong AppStore there is talk of developers switching to the platform often unsatisfied with Apple's unreliable approval process. For more Google Nexus One coverage head on over to Mashable who've got some additional information & photos.