Challenging the existing smartphone manufacturers, one more major electronics player is entering the smartphone segment. Amazon, which boasts of a successful line up of Kindle e-readers and tablets, which also happens to be the second most popular tablet after iPad, is working on a smartphone that is expected to release in the second quarter of this year, probably in July.
Though the news has not been officially confirmed, a report released by Digitimes stated that the new smartphone will have a 4.7 inch screen as opposed to the 4.3 inch screen that was planned initially. Amazon apparently to go with more screen real estate after considering the current trend of larger smartphones. For comparison, Samsung’s new Galaxy S4 has a 5-inch display and the HTC One sports a 4.7-inch display.
The release date of the smartphone is prone to change. Earlier, a report by cnbeta.com had claimed that the phone’s launch had been internally postponed due to supply issues. The overall development of the rumoured smartphone is supposedly going smoothly with the company working on enhancing the specifications. Surprisingly, Apple’s manufacturing partner Foxconn is apparently assembling the device for Amazon. The company had earlier announced that it had won the contract to build phones for Amazon, scheduled for launch in summer 2013.
Amazon presently focuses on improving digital content sales through its Kindle Fire line of tablets which run on Amazon’s customized Android skins. However, Amazon itself has stated that its margins are wafer thin with these devices. A similar approach is expected with the new smartphone, with hardware sold at low prices in order to encourage customers to use the Kindle ecosystem for books, movies, TV shows, applications and other digital content. Hence, the Amazon smartphone is expected to compete with low-end Android smartphones rather than Apple’s iPhone, which is generally aimed at the higher end of the market. Of course, Apple is never far away from the action as it is also rumoured to be working on a new, less expensive low-end iPhone for developing countries like China and Brazil.
The price of the smartphone is unclear but it is estimated to be around $100 to $200. Once the smartphone does arrive, there is no information whether Amazon will go the Google way and sell the device itself or partner with wireless carriers.
