Google Inc. is developing its own mobile phone, according to industry insiders and analysts, while a Google official in Spain last week acknowledged the company is "investigating" such a project.

Google isn't commenting directly on leaks from Europe and the United States which describe a low-cost, Internet-connected phone with a color, wide-screen design. Newspaper and blog reports in recent months have Google shopping its phone design to potential mobile phone manufacturing partners in Asia.

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"Mobile is an important area for Google," Google spokeswoman Erin Fors said Friday. "We remain focused on creating applications and establishing and growing partnerships with industry leaders to develop innovative services for users worldwide. However, we have nothing further to announce."

Gadget enthusiasts who only two months ago were obsessed with the potential revolutionary impact on the phone industry of Apple Inc.'s iPhone device -- due out in June and at prices starting at $500 -- have shifted their attention to whether Google is developing an even lower-cost phone.