Until now, Apple’s iPhone has been the only touch-screen phone, with serious internet and computing capabilities, that has been worth buying.  Google’s newly announced phone, which runs on Android, seems to be the next big thing that will compete with the iPhone.

Google’s new G1 phone announced today is the first real competitor to the iPhone. Like Apple’s product, it’s a serious handheld computer with a powerful new operating system (called Android) and a clever touch-based user interface. Like the iPhone, it’s likely to be a major new platform for third-party software. But it’s also very different, and may appeal to different buyers.

Link: Google’s G1: First Impressions

For those who are big fans of Google services (such as Calendar or Gmail), the phone will integrate with those systems flawlessly.  It even offers a download App market, called market.  The phone resembles the T-Mobile Sidekick; as it slides open to reveal a full QWERTY keyboard.  The keyboard seems to be better than the iPhone’s touch screen keyboard, as you can actually feel the keys clicking as you type (a huge pro in my opinion).

The only real downside is that the phone is 30% thicker than the current iPhone on the market.  However, this is only Generation 1; I have a feeling that future generations will be greatly improved.