Next year, Microsoft’s update to Windows 7 will hit touchscreen devices everywhere. While most of these are tablet-based, it looks like we’ll be seeing at least one phone based on the OS.

Developed by ITG – the makers of the “XP Phone”, a handset that ran Microsoft’s Windows XP operating system – the xpPhone 2 will feature a 4.3 inch screen, GPS, and enough horsepower to run Windows 8 when it gets released next year.

ITG says that this handset is the first “post-smartphone” device, suggesting that the phone and the notebook computer have become the same thing with this model.

Sadly, it doesn’t look like it’ll find a release past China, although we can hope. We’d love to see how well a desktop OS like Windows 8 runs on a phone.