http://online.wsj.com/article/SB124839803784477915.html
The result of that experiment will likely be a human chimera -- a person that shares genes from two people but isn't the result of natural reproduction. The more refined such experiments get, the closer they will get to cloning.

In the Nature paper, the scientists reported that some of their offspring mice were as much as 95% genetically identical to the adult mouse whose cells were originally reprogrammed -- very close to an exact clone.