It wasn't that long ago that we were told that Google was activating 100,000 Android handsets per day. It appears that the number has grown substantially. Google CEO Eric Schmidt told a group of journalists at a sit down at the Techonomy conference in Lake Tahoe, CA, that Google was experiencing not just a phenomenal growth rate, but an "incredibly phoenomenal" growth rate right now.
Schmidt credits much of the success to the popularity of the Droid X which is apparently sold out at most Verizon stores. He also cites the Samsung Galaxy S which is released on all four US carriers (AT&T, Verizon, Sprint, and T-Mobile).
Interestingly Schmidt says Google is happy with the success of the iPhone because Google gets a good chunk of revenue when people surf and click on ads. All in all, Mr. Schmidt seems pretty happy right now.