With its foot already in the tablet door, Amazon may be testing the smartphone waters in the near future with its own offering. Bloomberg is citing unnamed sources from Foxconn who claim Amazon is ready to manufacture a smartphone to compete with Android devices and the iPhone. Based on the Kindle Fire business model, one can reasonably expect Amazon to create a low-budget smartphone that generates revenue through Amazon apps.
There is no word on what OS the device will run and under which carriers it will launch. However, since the Kindle Fire launched with Android, albeit heavily skinned, there is good reason to believe the smartphone will also launch with Android. Amazon wants to preload as many of its apps as it can in order to generate revenue from mobile purchases. In addition, it could launch as an unlocked GSM device in America in order to avoid disputes and delays from carriers.
Bloomberg is citing an analyst at Citigroup who claims the Amazon smartphone will be ready to launch in November. If the Bloomberg report turns out to be true, then I imagine Amazon will keep the smartphone under tight wraps until October/November when it will be announced. It will definitely be interesting to see if Amazon can deliver a game changing smartphone to an already flooded market.
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