Microsoft, Verizon reportedly in talks to develop iPhone rival

Software giant Microsoft (MSFT) is in talks with Verizon (VZ) to develop a rival to Apple's popular iPhone, the Wall Street Journal is reporting.

It's no wonder that rivals are looking to chase some of the iPhone's market share. Consumers can't get enough of the gadget, even during the recession. In its latest earnings report, Apple said that it sold 1.6 million of the handheld devices during the first three months of 2009.