Well, it's not A gPhone. But it IS a free SDK for anyone who wants to develop applications for mobile phones. AND they're asking for input from developers that they will use to further develop their product. The SDK will apparently be available on November 12!
They have developed a new mobile operating system, based on Linux. Java already has a large percentage of the mobile device market, but this lets Google build a mobile-specific platform that developers can use.
And Google apparently thinks that this is even bigger than the idea of a single gPhone. Rather, any manufacturer can build a phone with a platform supported by Google.
Verizon hasn't jumped on board yet, but there's speculation that Sprint and T-Mobile have. I'm really hoping Verizon does, as well.
For more information, see:
http://www.mercurynews.com/breakingnews/ci_7375818