Reuters: Cingular considering iTunes phone

"Motorola and Apple have been talking to Cingular about it using the iTunes phone," according to one of the publication's sources, who asked not to be named.

Meanwhile, RBC Capital analyst Mark Sue said in a recent research note that Apple and Cingular were working out final details on revenue sharing pertinent to the arrangement.

Representatives from both Apple and Cingular declined to comment on the report, but a Motorola spokeswoman said the company is on schedule to ship an iTunes phone in the third quarter.

Apple and Motorola have been working to bringing Apple's popular iTunes service to mobile phones but Motorola has delayed unveiling its iTunes device so far amid speculation about a lack of interest from operators.

According to a report in French newspaper Le Figaro, Apple and Motorola may announce the device, dubbed iPhone, as early as next Tuesday.