With CES 2012 just around the corner, the buzz on the new devices we are going to see is heating up. This morning, there is word that Canonical is looking to get into the mobile market via a partnership with LG to create an Ubuntu based tablet and smartphone. This doesn’t come as much of a surprise following the announcement made by Mark Shuttleworth at the 2011 Ubuntu Developer Summit that Canonical would be pushing their open source flavor of Linux onto mobile devices.

During the keynote of the summit, Shuttleworth made it clear that despite the criticism of the new Unity interface, it was here to stay because of how integral it is to the Ubuntu mobile experience. At that point, he mentioned that Canonical’s target would be to have Ubuntu ready for use on a phone or tablet within two years.

It looks like Canonical is living up to the goals set by its leader, as indicated by a post on its official blog stating that “an exclusive Ubuntu concept design” is going to be announced at the show. Although we couldn’t get a solid confirmation on what the device exactly is, we have a good idea from unnamed sources that it will be a tablet-like GSM phone device. The info we found says the device has a 4.5-inch screen and a Texas Instruments OMAP processor, and will not be sold through carriers when it officially launches. The device is said to run “armbuntu” (not its final name), as well as having the ability to run Android apps a la the BlackBerry PlayBook.

Additional rumors we have seen have pegged LG as the manufacturer of the device, although when we reached out to Gerry Carr, Canonical’s Director of Communications, he denied the rumors. “We have no plans to announce anything with LG next week.” Muddying the waters somewhat, however, he went on to add “Every CES we see a bunch of new developments and devices built on Ubuntu, many of which we, Canonical, are involved in and many we are not. That’s the nature of open source after all […] but I can definitively say that Canonical will not be announcing this device at CES.” We’ll know soon enough whether this is merely marketing speak or not.

In countries like Chile and Singapore that have outlawed SIM locking, this device could certainly be an option if the price is right. As far as market penetration in the US, it’s going to be difficult for a non-carrier-supported device to make much of an impact. With the smartphone market already saturated with products from Google, Apple and Microsoft, the device is going to have some killer feature to attract consumers. Being able to run Android apps in some sort of emulation mode isn’t going to do the trick.

Any kind of Ubuntu-based device is going to be a niche product for Linux geeks and the more technical user at best. There are just too many smartphone options already on the market that are already entrenched in the hearts and minds of the consumer.

Update @ 01/09/2012: Ubuntu’s concept device… is a TV!