Scientists in the US have succeeded in developing the first living cell to be controlled entirely by synthetic DNA.

More Here

Brave new world here we come.

Note, this is synthetic DNA put into an existing cell. No one has created a synthetic cell, yet.

This was covered in one of the podcasts I listen to this week. Can't rem which one.
See podcast thread.

This life is called synthia and is doing well.

It is covered best in the naked scientist podcast available here

16th and 23rd May 2010 episodes.