The X10 is shaping up to be quite an impressive devices even in the absence of Android 2.1. In this video below Sony demonstrates how face recognition will be integrated in Android.
To have this feature in a phone is awesome step forward in mobile technology. This feature is not too common in dedicated cameras. Sony is really raising the bar with this device. It already packs in an 8 megapixel camera with flash. Enjoy the video and I hope this technology makes its way to more Android devices.