O2 has announced a £10,000 competition to find the best iPhone application.

The O2 App Showdown has been launched via O2 Litmus, the mobile network's app store, which went live earlier this year. Developers can either sell their apps through the free-to-use store, with O2 taking a 30 percent share of any profit made.

Alternatively, they can offer them to O2 customers for free providing users rate their overall experience of each application. The apps with the best overall ratings will then be made commercially available through other portals as well as O2 Litmus.

A £10,000 prize will be awarded to the winner, selected by a panel of O2 Litmus members. The competition is open to anyone who wants to develop an iPhone apps, while all O2 UK iPhone customers are eligible to apply to be a member of the judging panel.

The winning iPhone application will help build a lasting relationship between O2 and its iPhone customers, claims O2.

In addition to winning the £10,000 prize, the winning developer will have their application promoted to O2's iPhone customers in the UK.

Full details can be found on the competition's dedicated web page.

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