Rumors of this have been floating around for a bit but this looks like an interesting departure for the Finnish giant. This thing is essentially an instant-on Internet browser with some tablet functionality including handwriting recognition and Bluetooth/WiFi connectivity. Running a version of Debian, the 770 is designed to be more of a web-browsing tool than a full fledged PC.
While Joel may be able to comment more once Verizon un-jacks his Internet service, I think this 64MB TI 1710 OMAP ARM mini-PC is a very interesting tool. Designed to cost less than $350, it is more attractive and easier to use—and program for, thanks to open SDKs—than a handheld. Because handhelds are primarily designed as portable business PIMs, the home "quick browsing" market is still wide open. I know what you're going to say—"What about Audrey? WebTV?"—well, both of those technologies didn't played the the strengths of a constantly wired Internet. This, quite clearly, is a wireless tool that stays on the coffee table or near the toilet waiting to be used. It is an incidental but important part of the home network.
At our house we currently use a tablet PC for quick web-browsing in the living room. We never use the tablet to do real work. The 770 could instantly and permanently replace that bulky tablet.
Nokia Launches Linux Based 770 Net Appliance [Mobileburn]