Several months ago, rumors hit the internet that Facebook was working with HTC on a "Facebook phone" project. The rumors at the time said that the smartphone would be based on Google's Android OS but modified to add additional Facebook features. Those same rumors added that the device will also have an HTML5-based service for delivering applications.
Neither Facebook nor HTC have ever confirmed any plans for such a device. However, a new rumor at Business Insider claims, via unnamed sources, that Microsoft is trying to convince Facebook that it should launch such a device with Windows Phone instead.
The story claims that Microsoft would try to pitch Facebook the idea that Microsoft knows how to develop a mobile phone operating system and would help Facebook create such a device. The same story claims that Microsoft would try to convince Facebook that it knows everyone in the smartphone industry, even though sales of Windows Phone products have lagged behind Android and iOS devices.
The article lists a number of reasons why Microsoft would want to get in bed with Facebook on such a project, including the fact that such a device would bring more traffic to Microsoft's Bing search business. Neither Facebook nor Microsoft have commented on these new rumors.