Fixed Mobile Convergence

Looks like Gizmodo editor and blogger Jason Chen got himself in for a little more than he bargained for when he opened up a "lost" iPhone (News - Alert) prototype, did a little poking around and posted what he found on the blog site.

According to a published report "multiple law enforcement agencies" searched Chen's house and car in Fremont, Calif., where they seized computers, digital cameras, a cell phone and other items on Friday. They were reportedly there on a warrant issued by a court judge in San MateoCounty that said the computers and other devices may have been used to commit a felony.

At this point it's difficult to say if the issuance of warrant is directly related to the lost iPhone incident.

The incident took place Thursday, March 19, when a bargoer at Gourmet Haus Staudt, a German beer garden in Redwood City, near San Francisco, found what appeared to be an iPhone 3G on the floor. The baregoer reportedly asked around the bar to see if anyone had lost an iPhone, but nobody claimed it. The person then opened the phone's case and found it on with the Facebook page of Apple (News - Alert) software engineer Gray Powell still signed in. The person decided to try to return it in the morning.

But when the individual who found the phone woke up the next day, the phone was 'dead.' Apparently the owner of the phone disabled it remotely using Apple's MobileMe service, which wipes all data off the phone. The person then noticed the device looked different from other iPhones -- for one thing, it had a front-facing camera. Upon realizing that the phone was different from other iPhones, the person decided not to return the phone and instead put it up for auction to the highest bidder.

Gizmodo reportedly bought the phone from the individual for $5,000 and then posted several reports about it. Chen also had the opportunity to dissect and analyze it. After publishing these posts an Apple executive contacted Editorial Director Brian Lam and asked that the phone - which at this point could have been considered stolen property - be returned to Apple.

Gizmodo published Apple's letter on its site, claiming that it was proof that the prototype device was 'real.' (However, that does not necessarily mean it's the next iPhone -- just a prototype of some sort.)

According to today's report, members of the Rapid Enforcement Allied Computer Team took several computers, hard drives, digital cameras, cell phones and other gadgets from Chen's residence, plus Chen's American Express (News - Alert) bill and copies of his checks.

In an AP report Gawker Media said Californialaw, which protects journalists from having to turn over anonymous sources or unpublished material to law enforcement during a search, should apply to Chen's property.

'Are bloggers journalists? I guess we'll find out,' Nick Denton, who runs Gawker Media, wrote in an e-mail to the AP.

The California district attorney's office is reportedly examining that issue.

A copy of the warrant and a first-hand account of the search by Chen are posted on Gizmodo.