UPDATED:No more deserts after Cupcake for G1

It looks like the G1 is done as far as receiving sweet deserts is concerned. A recent, unofficial report says that T-Mobile will not upgrade the first Android powered handset past the 1.5 Cupcake upgrade. While the carrier is being coy when questioned, it does appear that the Donut and Eclair firmware updates will not be made available to the G1 and that only small bug fixes and security issues will be addressed. The G1 has 256MB of internal memory that is split between the OS and apps and that makes the updates too large for the device.

Android software engineer Dave Sparks said that the time is coming when the latest upgrade could not fit on the G1's internal flash. He said that the software team had trouble fitting the Cupcake upgrade onto the handset's memory. 40 to 50 apps can fit on the G1 and despite wishful thinking, Donut and Eclair upgrades will not allow owners to move these apps to microSD cards to free up memory space. So the bottom line is that the G1 will  become obsolete less than two years from launch, forcing those cellphone fanatics who want the latest and greatest Android releases to upgrade their hardware.

T-Mobile G1 Specifications | Review

source: AndroidandMe

*UPDATE*
T-Mobile told Engadget Mobile that , "We plan to continue working with Google to introduce future softwareupdates to the T-Mobile G1. Reports to the contrary are inaccurate." Of course, that still doesn't mean that any future upgrades will be more than just some minor house cleaning. All of us know that full feeling and trying to eat that one donut when you've reached your limit usually makes you sick.

source: EngadgetMobile