Spotify, online streaming music service, seems to diversify its services. A recent report at  TechCrunch says that it will offer a self-branded handset in its home country of Sweden. In this regard, Spotify has joined with the Swedish telecommunication service provider, Telia, which will deliver the handset and latest Spotify-branded services for computers and TVs.

Reportedly, the phone will be built by the UK based INQ. As a result of the joint venture, the handset is expected to be rolled out in different markets through other carriers. INQ is well-known for the development of affordable phones, which come integrated with social networking services like; Skype, Windows Live Messenger, Gmail, Facebook and twitter.

Spotify is well-known for the offering of a downloadable music player, which helps users  make access to streaming songs from independent and major labels. The music streaming application supplier is also known for services on the iPhone, Android & Symbian S60 platforms. At present, the INQ handset is undergoing the designing stage. We doubt how Spotify music application will be incorporated into the INQ handset and what is going to be the USP of the device.

So far, no word from the company as to the pricing and launch date of the handset. But, it is reported to be made available in Sweden.