UPDATE: More spyphoto joy from forums net-wide! First of all, from the image of the back we read “2.0 Megapixel” (and we see a scant one-led flashlight) so this is finally the Walkman phone codenamed Sakura. Ophira, with the same rotating form factor but oriented to imaging, was said to come with a 3 megapixel camera, but the project has been cancelled or (we assume) postponed. Another photo side by side with its predecessor the S700 shows a slightly smaller screen, which on the other hand mantains the 320×240 pixel resolution, meaning even better definition. Black will be another available color for the Sony Ericsson Nano… errr… Sakura. Check out the pics.

UPDATE: High-res pics here.

What you see on the right (click to enlarge) is a spy shot appeared in Mobile-review’s forums of what looks (from the photo and the rumors) to be a new S700 successor with the same 320×240 pixel screen (notice the definition), 3G functionality (frontal VGA camera plus videocall shortcut button under the d-pad), and Walkman stuff (play/pause and next-previous track icons on the d-pad, about time!). According to Eldar Murtazin, this is not the Sakura, but a model below. That info, added to the rumours that say it’ll be a bit smaller than the S700 (it does look thinner) and the fact that a 3G phone is really difficult to keep in small size, makes me think this one features the 2megapixel camera, and not the expected 3megapixel. That should appear on the Sakura. I’m looking forward to see what improvements in the paint/color/material are made to the commercial version, I don’t think we’ll see “Fisherprice Yellow” in the official specs in autumn. Want names? “S750″, “S800″, “S850″, “P850″ (not smartphone), “W850″…
Discuss this in the Ophita/Sakura forum thread

UPDATE: New photos of a nicer-looking white version have appeared on Sep 23rd, setting up a lot of confusion on whether we’re actually talking about the Sakura or Ophira.