Google may be ready to unveil the Nexus One

The tech world is aflutter with reports that Google will unveil its highly-anticipated mobile phone next week.

The rumors were fanned by Google’s invitation to reporters to attend an “Android press gathering” on Jan. 5. While Google isn’t providing other details, the event could be designed to showcase the Nexus One, Google’s entry to the mobile phone market.

How Google’s increased participation in the mobile phone market will impact lobbying politics in Washington is unclear.

The Internet giant for years has been involved in a fight with Microsoft, which hopes Google will come under tougher anti-trust scrutiny from the Obama administration.

Apple and Google also are increasingly rivals, and a Google phone would obviously raise the stakes for both companies. Apple’s iPhone rules the roost in the U.S. in terms of profits in the mobile phone market. A nd with people rapidly using their phones as a primary way to surf the Internet, it’s easy to see how the rivalry could grow.

Google CEO Eric Schmidt sat on Apple’s board until last summer, when he resigned. The resignation came days after the FCC sent letters to Google, Apple and AT&T about why Apple had rejected a Google Voice application from its iPhone application story.

Separately on Tuesday, Apple was hit Tuesday with a patent infringement complaint from Nokia, which said the California company had modeled patents for the iPhone after its own intellectual property.

Here’s the take from The New York Times.