It's basically a small touchpad computer, designed for you to use with your O2 mobile account to display a calendar, send you reminders, etc.
However, more importantly it's also capable of streaming photos and music. And when princealbert took his apart he discovered a dual-core Atom setup, complete with n-series WiFi.
And it's currently on sale for £50. Which for a music streamer with speakers is pretty damned impressive. They _have_ to be selling that at a loss.
I ordered mine at the weekend, so it'll probably arrive on Wednesday (due to the bank holiday). I'm looking forward to having a play with it and see what works.. There are already guides online to getting it to boot Ubuntu...