Hell bent on blurring the line between digital cameras and mobile phones Nokia is churn out 12 Megapixel camera phones next year. Well, at least that’s what PhoneReport says, quoting undisclosed sources from Nokia and Carl Zeiss. The phone which may be from the N-Series will be announced later this year but wont hit stores till 2010. Only Nokia can confirm the rumors or put them to rest.

Pictured above is the Nokia N86 the company's only 8MP camera phone.

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