REPORT: Facebook Buying Gowalla, A Foursquare Competitor

Gowalla billboard

Facebook is buying mobile location-based check-in service Gowalla, CNN’s Laurie Seagall reports.

Gowalla was in a neck and neck battle with Foursquare back in 2010, but by this year Foursquare had become the clear leader, as Foursquare investor Fred WIlson so eloquently pointed out in May.

Facebook scaled back its own Foursquare competitor, Places, earlier this summer. Instead of letting users “check in” on their mobile phones, Foursquare simply added location as an option to all check ins — mobile or not.

Dan Frommer at SplatF thinks Facebook may be buying Gowalla for its mobile design chops, as Facebook looks to build its own mobile phone platform.

Facebook had no comment on the report.