The Hydrogen fuel cell powered phone would come with a desktop fueling station which stores hydrogen into a metal hydride storage container on the phone.Photo and more details on CNET.
Fuel cell to power portable gadgets and phones have been in the center of research in Japan and elsewhere for a long time now.
Nokia for instance showed a fuel cell Bluetooth headset in 2004. Toshiba has been on the fore front of developing tiny fuel cells. In 2004 the company showed a fuel cell for MP3 players. The Medis Power Pack Fuel Cell is actually on the market and can power your iPod for 80 hours.
If methanol fuel cells or water fuel cell will be the better choice is still up in the air as far as I can see. Water is sure more intriguing as it is available almost everywhere.