UPDATE [9/3/2009 @ 10:14AM]: Twilio has extended the deadline an extra week to accommodate Labor Day weekend in the USA.

Window Azure is joining forces with Twilio to bring you Week #16 of the Twilio Developer contest.  For those of you who don’t know, Twilio is a web service API for making and receiving phone calls using simple HTTP requests.  We thought it would appeal to a lot of the same developers who use Windows azure, so this week we’re challenging you to build an application that combines the two.

Participants to the contest have until midnight on Sunday, September 6th to submit their applications for a chance to win a free copy of Windows 7, $500 in Windows Azure credit (that kicks in in November when we reach our commercial launch), and a Netbook from Twilio.  To learn more or see submissions from previous weeks, visit the Twilio contest page.