Gap and Mobclix are co-sponsoring an iPhone app development contest that’s launched yesterday surrounding WWDC 2009. The contest, which will end at September 1, will give developers the chance to design Gap’s official iPhone app. Grand prizes include cash from a notable Silicon Valley VC, a $1K Gap gift card and a free advertising package from Mobclix.

Each week, a favorite app will be chosen from new submissions and will be featured on the Mobclix web site. The community votes on the People’s Choice winning app and a panel of expert judges will help Gap and Mobclix choose the Grand Prize winner. Apps will be judged on originality, innovation, ease of use, and customer appeal. As you brainstorm ideas, keep in mind the following things that Gap is known for: denim, color, music, individuality and reinvented classics.

Visit www.mobclix.com/gap, view the official rules and register for the contest.