Creative has begun creating a media player that will run their very own OS caled "Plasma", however the nifty device can also be ordered with the Android OS aswell, and judging by this picture on their official site:
It looks like it will release with Android 1.6 (Donut)
It also looks like the android version of the device will be available in a media player and a phone, however I'll be looking forward to the media player. Here are some of the specs for the nifty device!
" Capacitive 10-point multi-gesture touch display
3.5 320Χ480 true-color display
Up to 32GB internal plus SDHC slot (supports up to 32GB of external SDHC Card)
X-Fi audio processing
Bluetooth 2.1 + EDR
Wi-Fi 802.11 b/g
Hardware GPS receiver
32MB NOR (Linux Kernel Boot ROM)
256MB Mobile DDR RAM
Supports 720p and 1080p HDTVs via HD cable
Headphone socket, built-in speaker and microphone
- Forward facing HD camera
- Rear facing VGA camera
1200mAH rechargeable lithium-ion
115 x 62 x 12 mm (108grams)"
From Creative Zii Egg | Geeky Gadgets
Now I'm unsure whether or not the device will be a dual OS device or if you have to order it with only one. And I'm also unsure on whether they will upgrade the Android OS to the 2.0 series.
All in all this looks very promising!