Here is a video of a demonstration handset showing what android can do. The device is a 3G phone running on a 300MHz processor. Applications seem to load pretty fast and the browser looks really responsive. There is a demo of Quake to show the 3-D capabilities. This is also the first time that Google's street view has been shown on a mobile device with zooming and panning capability just like the desktop version. Android is still in the early stages of development but it seems to be coming along quite nicely. Check out the video.