Like Creative’s introduction video before it, CNET’s hands-on is more about seeing the hardware than showing off new features—this is the same Android we’ve been using since last year, after all. There’s a lot of interesting stuff going on inside the Egg—720p video playback support by means of on in-house chip, promises of long battery life, the expandable storage potential—but most of this isn’t apparent in a short demo like this.

What we’re left with is an attractive piece of hardware that is just begging to live out its destiny as the first mainstream Android PMP, but which Creative can’t seem to make up its mind about, at least publicly. The Zii really looks like a consumer products, from its styling to its specs, and I’d love or Creative to take it to market, or to sell the design to someone else to do the same. But even though it seems obvious that such a product would represent the first real competitor to the iPod Touch, their line, still, is that this is for developers. Click through for video. [CNET Asia]

Being seeded to developers as part of a $US399 SDK (final units are expected to ship in bulk at $US199), the Zii Egg Plaszma is an Android-friendly “handheld computer” that’s like an iPod touch beefed up with more than a few popular requests.

You navigate the platform through a 3.5″ 320×480, 10-point capacitive multitouch screen. From there, you can access the rear facing HD video camera, front facing live chat VGA camera, 32GB of integrated storage with SDHC card expansion, Flash Lite support, GPS, Wi-Fi and, oh right, it’s powerful enough to output 1080P video.

Of course, its greatest assets, the option for the open Android OS (the company offers its own Plaszma OS but that’s a bit less exciting), means that the hardware begins to resemble a smartphone without the phone. And I’m surprised on a daily basis that anyone is still buying big iPods that can’t make phone calls. [ZiiLabs via GeekyGadgets]