This is very cool. We're starting to see a bit of consolidation in the Python web framework space. TG2.0 will be based on the core elements on Pylons--including Paste and SQLAlchemy. Pylons will remain a lower level collection of WSGI tools, and TG will create the high level framework with more of decisions made for you. I'm not crazy about Genshi and XML templating languages but otherwise this is good news.