Originally, Google wanted to launch its Android based handsets in the market by second half of 2008. However, it appears they are struggling to get it done before the Q4 this year, and possibly pushed out to 2009 by some of the carriers who planned to launch Android based handsets.

HTC confirmed that a phone that runs Google’s Android operating system will be unveiled by Q4 this year. This transpired in a conversation that general manager of HTC for MEA and CIS Kevin Chen had with blogger Meraj Chhaya at the launch of the South African HTC Touch Diamond. When quizzed whether it will be possible for the one company to make smartphones that can run on competing operating system, the response was that “they (HTC) are not going to dump anyone.” So there you go. HTC will continue making Windows Mobile-based devices, and you will, in all likelihood, be able to buy the first Android-based smartphone before the year is out.

Not quite fair since iPhone doesn’t have GPS yet and is only using WiFi to get rough positioning.

Is Nokia changing its stance on Google Android? Here is a screen shot of Android running on Nokia’s N810 Internet Tablet

HTC is developing a handset called “Dream” that runs Google’s Android software, according to a report from InfoWorld. The handset is reportedly 5 inches long and 3 inches wide with a large touchscreen and a full QWERTY keypad that slides out from underneath the screen. It should hit store shelves by the end of this year.As we noted last week, the handset makers and carriers involved in Google’s Open Handset Alliance are probably going to start releasing launch dates and device specs for Android-powered phones at next week’s CTIA Wireless conference.

Google’s manager of mobile platforms told attendees at the Emerging Communications Conference that the forthcoming mobile phones running on Android are more flexible than Apple’s proprietary handsets because developers can easily create applications for the open Android platform. Miner said the first Android handsets will hit the market late this year.”It’s great that people are finally building tools so all of these third-party applications can be built and get out there, (but) there are things I saw people doing with the first version of the Android SDK that it seems like you can’t do with the iPhone–at least at the moment,” Miner said.

“Once you have devices out there from Motorola, HTC, Samsung, and so on, there’s a much larger potential market on Android than for the iPhone,” Miner said.