As Verizon did just weeks ago, it seems that Sprint has followed suit with the Nexus One. According to a post on Gizmodo, a Sprint spokesperson has confirmed Sprint's decision to can the Nexus One. Assuming the above is true, this news means that all of the top 3 US mobile carriers have abandoned Google's premier device (it only works on AT&T because it's unlocked, not because they support it).
Google's entire strategy with the Nexus One was to have one phone on all carriers. According to Gizmodo's source, the device was dropped because the pending HTC EVO 4G release, which is a "more robust, full-featured device."
However, this reason makes little sense, since the two devices were announced within a week of each other. Sprint planned to release the devices around the same time from the get go; there's obviously more to the story than Sprint's revealing. The news of them dropping the Nexus One comes as a shock to the Android community, and a major blow to Google and their phone business model.