GPhone won't fly unless something can be done to the browser, and the screen must cover the entire phone.
What is hot now is hardware and software integration, it's the gadget. The GPhone software requires a lot of buttons on the side, just takes too much space. Do you see the cool stuff on GPhone demon like the StreetView from Google map. Those are just part of Google map, free on Internet. But just try to navigate around, it is so hard, you have to press the mouse all the time, not multi-touch like iPhone.