As far as I know, this is old news. Regardless, OpenGL 2.0 is not out yet, so we don't know for certain what the final lanaguage idea will be.
However, I do support one major facet of 3DLabs' version of the spec: standardize the HLSL, with vendor-specific assembly/machine language, as well as compilers.
I also like the cross-API nature of nVidia's Cg, however, so I would personally like it if the two languages were merged, keeping both of these facets in the final design.
One other thing: it certainly seems to me like a standardized HLSL will require support for auto-multipass for fragment programs, and CPU-assist for vertex programs.