It was expected that Google will be announcing the Nexus S and/or Gingerbread 2.3 at Web 2.0 conference. Sadly, this piece of info turned out to be a rumor. However, Eric Schmidt came to the Web 2.0 conference with a handset that looks like the Nexus S and was running on Android 2.3.

Eric Schmidt also revealed that the Nexus S will be having NFC capabilities a technology which aims at replacing credit cards. The folks over at Engadget managed to click some pictures of the Nexus S handset while Eric was using it. From the images, it is evident that the handset is running Android 2.3 (notice the black notification bar) and the carrier of the handset is indeed T-Mobile as reported earlier.

Schmidt also said that the next version of Android Gingerbread will be out in the next few weeks.

(Source)