Google Phone - Real?

Is the photo real or photoshopped? If it is real, it means it is totally touchscreen, which might be cool for lots of functions (scrolling thru a list of contacts), but for menus I prefer a wee joystick, and for typing letters and numbers, gimme real keys any day of the week!

A venture capitalist says the phone is real, and Google definitely have the staff and cash to make it reality....