T-Mobile will launch a new phone, built using the Android development platform from Google, that is expected to become a serious challenger to Apple's iPhone.

T-Mobile USA is a subsidiary of Deutsche Telekom and apparently hopes to challenge the iPhone as well as Blackberrys and devices from Palm, Microsoft and Nokia, according to a report in the New York Times.

The phones are expected to debut in the fourth quarter of this year.
Google announced Android in November last year. It is an open platform for third party developers to create new software for mobile phones.