WORD ON THE STREET: Amazon is Getting Into the Smartphone Business

By: Kuljit Grewal  |   July 17th, 2012   |   Business, News, Smartphones

According to various sources, e-commerce giant Amazon is working with Foxconn International Holdings to create a Smartphone. The Kindle maker is already said to be testing the device inAsia with the aim of increasing their foothold in the tablet and mobile device industry. A fair deal of the confirmatory information is coming by way of Amazon’s component suppliers inAsia, with the phone expected to be released at the end of this year or early 2013.

 

Although Amazon has officially remained mum on the matter, there are far too many interesting things happening in and around the company for the news to remain under wraps for much longer. TheSeattle,Washingtonbased company has been aggressive in their pursuit of wireless patents as well as individuals with knowledge in the field in order to avoid all potential lawsuits and charges of illegal technology use that may come their way.

 

According to WP Central, Amazon has also hired the former head of Microsoft’s Windows Phone division Robert Williams and put him in charge of their App Store. Although the App Store currently serves users of the wildly popular Kindle tablet e-readers, it is hard to believe that someone with the vision, business acumen and resources of Jeff Bezos will resist the Smartphone business for much longer now that he has had a taste. His main competitors in the field, Samsung and Apple shipped a staggering 398 million mobile devices in Q1 of this year.

 

Although this is merely speculation at this point, it is to be expected that the Amazon phone will be priced as their Kindles are; at the lower end of the spectrum in order to offer value while also undercutting higher prices manufacturers such as Apple. Word is that the Amazon device will have a 4-5” display, akin to the Samsung Galaxy S III, HTC One X and the next iPhone.