Google updated their google.com/phone website dedicated to the Nexus One which removes the "Coming Soon" sign for the Verizon version and instead recommends buying the similar Droid Incredible.

Courtesy: Engadget

As it turns out, it's true. The Nexus One and Verizon will never see the light of day together. It has been cancelled. While Google hasn't stated why they decided to cancel the Nexus One on Verizon, they replied to Engadget with this statement:

We won't be selling a Nexus One with Verizon, and this is a reflection of the amazing innovation happening across the open Android ecosystem. Verizon Wireless customers who want an Android phone with the power of the Nexus One can get the Droid Incredible by HTC.

While the Droid Incredible is similar is specifications, the user interface is actually a bit different. HTC runs its own Sense UI on top of Android, whereas Nexus One just uses Android.