Last month HTC was asking devs to pull their widgets from the Android Market and now they are sponsoring a design contest to create them. HTC has just announced a sponsorship of the 2010 NAVTEQ Global LBS Challenge where they are providing this year’s competition with HTC Touch Diamond2 and HTC Hero phones along with HTC Hero’s Development Tool. The NAVTEQ Global LBS Challenge has a record prize pool of $10 million and HTC is providing a special recognition prize for the “Best Home Screen Widget Design”.

We hope LevelUP Studio enters the contest and takes home top prize.

From HTC: Create a top notch location based services solution for an HTC Hero widget, and HTC will consider your entry for the Best Home Screen Widget Design prize. The HTC Hero widget you develop must bring valuable information to users instantly for an at-a-glance view on the home screen of the phone.