The OpenMoko team have been working on a cell phone to be manufactured by First International Computers, the motherboard manufacturer. Using a GNU/Linux base, OpenMoko intends the NEO1973 to be both a proof-of-concept device, and a reference platform. The phone is almost completely open, using closed-source / proprietary subsystems only for the GSM/GPRS and AGPS (assisted GPS) components. The provided APIs to these subsystems allow for free software to make use of both the GPS and the telephony features of the phone.
With a price tag $150 less than the iPhone... what's not to love? Open Source is the way to go. Read more @ tectonic