Is it real? - Google's Mobile Device Photo

The rumor about Google's phone has been around, and the recent New York Times article (Big Money in Little Screens) has confirmed it really does exist by saying:

Google has gone so far as to build a prototype phone with its own software inside, according to one person who has seen it.

Now, this the first time I saw a photo of the concept design. To be honest I don't believe it is real. It's just too ugly to trust.

Source: Engadget Mobile