According to a news I yet only found on the German pro-linux http://www.pro-linux.de/news/2009/14023.html (the got if from Bern (CH) newspapers)
the free-as-in-freedom phone experiences a severe crisis. They have a plan B for the moment, something not publically announced, no phone but targeting for the consumer market in the first edition (I wonder... maybe some ARM driven netbook or something?). Later, when they have recovered the probably want to continue with the OpenMOKO concept and the phone.
Harald Welte noted a few days ago in his blog http://laforge.gnumonks.org/weblog/ a loss of developers.
I feel very sad for the phone, I always had hope to hold some really free phone in my hands. Full specs for hardware, no binary blobs, and thus completely free software. A phone with a /bin/bash if you wanted to. All that Android stuff ain't an option, it is kinda Tivoized stuff, I don't want it.
Stop TCPA, stupid software patents and corrupt politicians!