Facebook could find its way onto hundreds of thousands of mobile phones, following rumours that Nokia is developing a social networking tool for its handsets.

A report from research firm paidContent suggests that Nokia is in negotiations to develop a mobile version of Facebook, mirroring the deal struck between YouTube and Apple which brought YouTube to the iPhone.

Nokia is also rumoured to be interested in acquiring a small stake in Facebook, after an unnamed Nokia executive revealed that "a partnership is in the works".

As the world's largest mobile phone manufacturer, Nokia's 38 per cent global handset share might prove an irresistible proposition for Facebook. But any deal is likely to provoke outcries from privacy activists.

Facebook is facing questions from the Information Commissioner's Office (ICO), following complaints by a user who was unable to remove their profile even though the account had been terminated.

Facebook claims that it has no interest in using information from deactivated accounts, even though personal details remain on the company's servers after deactivation of an account.

"We take the concerns of the ICO and our users' privacy very seriously," said a statement on the Facebook website.

"We are committed to working with the ICO to maintain a trusted environment for all Facebook users and to ensure compliance with UK law."