Microsoft has long and repeatedly denied that it was working on an iPhone competitor. Apparently that may be a lie (surprise, surprise) if a Tweet from a Microsoft employee is to be believed.
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A Twitter account set up to promote Office 2010 has had a Tweet posted that says "New product launch, that's all I'm allowed to say. Hold off from buying an iPhone/Pre. :)."
Now that could simply be a self-serving ad designed to get people to follow the Office Twitter page, or it could be a legitimate hint that Microsoft will have a phone in June. June is also when the next generation iPhone is expected to launch.
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