GooglePhone confirmed?

Apparently the GooglePhone has been confirmed, if the article from the New York Times is anything to go by. The article in that semi-reliable source states that Google won’t just do a half-hearted job by entering the cellphone market with a handset, but have even gone the extra mile by building a prototype phone with its proprietary software within. As for the rest of the world, the jury is still out on whether the GooglePhone is mere vaporware or actually a work-in-progress. What’s your take on it?