Google spending hundreds of millions on mobile-WSJ

(Adds details, company responses)

NEW YORK, Aug 2 (Reuters) - Google Inc. (GOOG.O: Quote, Profile, Research, Stock Buzz) has invested hundreds of millions of dollars in its cell phone project and is courting U.S. and European mobile operators, The Wall Street Journal reported on Thursday.

Anian, a Reuters company that tracks industry trends for institutional investors, reported last month that Google had engaged Taiwan's High Tech Computer Corp (2498.TW: Quote, Profile, Research, Stock Buzz) to design a Linux software-based phone for launch in the first quarter of 2008.

The Anian report cited industry sources as saying that T-Mobile, owned by Deutsche Telekom (DTEGn.DE: Quote, Profile, Research, Stock Buzz), would likely be Google's U.S. partner with France Telecom's (FTE.PA: Quote, Profile, Research, Stock Buzz) Orange selling the phones in other markets.

The Journal said on Thursday that Google had also approached the two biggest U.S. wireless services, AT&T Inc. (T.N: Quote, Profile, Research, Stock Buzz) and Verizon Wireless, in recent months to ask them to sell phones with Google service.

It cited a Verizon Wireless executive saying the company had decided not to integrate Google's Web search tightly into its phones because of Google's advertising revenue-sharing demands. The newspaper said the executive had not commented on a Google phone.

A person familiar with the situation told Reuters that talks between Verizon Wireless, owned by Verizon Communications Inc. (VZ.N: Quote, Profile, Research, Stock Buzz) and Vodafone Group (VOD.L: Quote, Profile, Research, Stock Buzz), and Google have ended without resulting in an agreement.

Representatives for Verizon Wireless, T-Mobile and AT&T declined comment.