According to AndroidAndMe, Motorola will be manufacturing the next Droid for Verizon featuring the new Android update, Gingerbread. Some features that this phone is speculated to have is the new NVIDIA's dual-core Tegra 2 platform, 1080p video encode/decode, and a front facing camera.
The original rumor was that Motorola was working with Verizon to build the first Google tablet, but turns out that won't be available until the tablet-optimized Android 3.0 (Honeycomb) comes out. Because of the success of its predecessor, Google has decided to give Motorola and Verizon the opportunity to release the first phone with the new Android update.
As to when to expect the phone to come out, Motorola Co-CEO Sanjay Jha, let it slip that a Tegra 2 phone would be coming out for the Christmas holidays. One could only assume it would be this phone coming to Verizon. Other phones rumored to be coming out with a dual-core processor is LG which revealed plans to release a dual-core but has yet to materialize, and the HTC Mytouch HD which was reportedly shipping with the dual-core but that might have been an error.