Several sites have rumored that Facebook is prepping a photo-sharing app for the iPhone. From the description, the app is a mixture of Instagram with some of the location information and social sharing of Path and Color. A few surprises are also supposedly thrown into the mix.
The app, of course, is integrated into Facebook and ties into your Facebook account. Right now, it is a standalone app, but these features could eventually make its way into the official Facebook iPhone app.
Currently the amount of information available is really sparse, but we will of course keep you up to date.