News : T-Mobile to offer first Android smartphone

(Reuters) - Deutsche Telekom's (DTEGn.DE: Quote, Profile, Research, Stock Buzz) T-Mobile USA will be the first carrier to offer a mobile phone based on Google Inc's (GOOG.O: Quote, Profile, Research, Stock Buzz) Android software, the New York Times reported, citing people briefed on the company's plans.

The high-end phone, which will be made by the world's top smartphone maker High Tech Computer Corp (2498.TW: Quote, Profile, Research, Stock Buzz), is expected to challenge Apple Inc's (AAPL.O: Quote, Profile, Research, Stock Buzz) iPhone as well as other smartphones that run software from Palm Inc (PALM.O: Quote, Profile, Research, Stock Buzz), Research in Motion (RIM.TO: Quote, Profile, Research, Stock Buzz) (RIMM.O: Quote, Profile, Research, Stock Buzz), Microsoft Corp (MSFT.O: Quote, Profile, Research, Stock Buzz) and Nokia Oyj (NOK1V.HE: Quote, Profile, Research, Stock Buzz).

The phone is expected to go on sale in the U.S. before Christmas and perhaps as early as October, the paper said.

Neither Google, nor T-Mobile immediately returned calls seeking comment.

Last November, Google introduced its highly anticipated Android software system for designing mobile phone devices, in a move it promised could help the cellphone industry make the Internet work as smoothly on phones as it does on computers.

(Reporting by Tenzin Pema in Bangalore; Editing by Paul Bolding)