The gPhone is real and is rumored to be out 1Q08. It will be running some loonix core and will be made by HTC. Thats about all I know. Oh, and it will have GPS and Google Maps integrated, along with whatsopen.com
Its more of a mobile phone OS than actual phone hardware.
http://www.engadget.com/2007/11/05/googles-android-platform-and-the-open-handset-alliance-a-quick/