Android phone out in September?

The first phone based on Google's Android OS will be called the G1 and be offered for presale by T-Mobile on Sept. 17 to current T-Mobile customers, according to this post by TmoNews. Rumors surrounding Android's launch date abound, but this one seems to have some teeth to it.

TmoNews says the phone will cost just $150 during the presale, but will jump to $399 when it fully launches in mid-October. Beyond being available in black, white and brown, the phone will be 3G-enabled, sport a 5-in. by 3-in. screen (far larger than the iPhone's 3.5-in. screen), a slide-out Qwerty keyboard and a 3.0 megapixel camera. That's a lot of detail for a rumor.

Even the AndroidGuys have tentatively climbed aboard this rumor train, saying they believe the phone (which they thought would be named Kila--for iPhone Kila) will be generally released Oct. 13.

The sooner the better, especially since Google's been struggling with unhappy developers and the unbridled success of the iPhone. Apple's market capitalization even surpassed Google's this month. Looks like next month could be a different story.