The alphabet is a popular decor theme in childrens' spaces, usually in the form of artwork. If you want something that can double as furniture, check out this Aakkoset shelf by Kayiwa.
What great fun it would be to tuck in all of baby's books and treasures in the letter spaces. Or, if you have the restraint, leave the cubbies bare. The shelf is made from MDF and comes in red (shown) as well as >black, blue, green, orange, violet, white and yellow. Check out Kayiwa's site for more details.