another store … ? g tegra has also its “own” store … 
If you break it down, you will just get a phone without touchscreen, without mobile capacities, without accl sensor and without force feedback (sure, the gamepad can mimic some of that, but look what a force feedback controller does cost). Sure, that spares a lot of money, so it should possible to make it but it removes everything which makes the phone games different from console games.
There may be some games on the phone, which do not use a touchscreen … like all the AAA first person shooters I would never play on a phone. They would work better with a gamepad. But AAA FPS Players usually get a XBox 
But most of the smaller, casual games, are explicitly built for use with a touchscreen and merely even rely on it. Do you think Angry Birds, Bubble Shooters, “Where’s my water” or Jewels will work with a GamePad? Or Dev Story? Farmville like games?
Merely, most of them would (and actually do) work on the computer playing with the mouse.
Makeing the phone itself being a gamepad would be something special - that’s the reason why Nintendo is still alive. Think about having phone connected to tv and use the touchscreen as a controller - you will get a GameBoy DS with a bigger screen but without games explicitely made for the system.
Without all of that, what you get is an atari or NES with better graphics than 20 years before. Perfect working for NES or GameBoy emulators, I admit, but they will not work on a commercial base without licensing issues xD
An Android Media Station - I REALLY would love it!! But don’t forget, that android is open source, so it will NEVER work with blue rays or even dvds without ripping them in a commercial (legal) manner. (Blame GEMA, but also - sadly - the GPL, as far as I know)
And there is my point, why I do see many different possibilities for an “android console” - I do not see much potential to make it a sucessfull business without approaching many different aspects.
So I am looking at it completely business related (currently), which does not mean that I do not appreciate their idea, I just think, that it will not be successful in the current concept and I am not sure the guys in the front of this project are aware of many things.
But hey, I will not act against them, maybe they come out with a really good product in the end, and I was completely wrong … 