Not content with launching its own tablet, Amazon is now reportedly working on a smartphone. We’ve heard the rumour before, but now comes word it’s linking up with iPhone maker Foxconn to produce the handset.
Our prediction? Budget. Android. iPhone killer.
People familiar with the matter (who didn’t want to be named) told Bloomberg about Amazon’s plans. The big hint is that the bookseller is looking to acquire patents that cover wireless tech, and help defend it against infringing other manufacturers’. So if Nokia is thinking of accusing Amazon of using its patents, like it did with Google’s Nexus 7, it might be out of luck.
Amazon launched its first tablet, the Kindle Fire, last year. Though we’re still waiting to get our hands on it here in the UK. It’s cheap cheap cheap, with Amazon only making a slight profit on each unit. But Amazon is keeping the price low in order to get it in as many pairs of hands as possible. Then it makes its money off the back of the ebooks, films and music people buy from Amazon to enjoy on the device.
If it can apply the same business model to a mobile phone, it could well make huge inroads into Apple and Samsung’s market share. There are no specs given for Amazon’s phone. But a budget blower with a decent screen would land Apple and its pricey iPhone in trouble.
Image credit: CNET
Source: Bloomberg
