According to a new report from Bloomberg, Amazon is collaborating with Foxconn – Apple’s major manufacturing partner – to produce a smartphone intended to compete with the iPhone and Android-based devices.
A smartphone would give Amazon a wider range of low-priced hardware devices that bolster its strategy of making money from digital books, songs and movies. It would help Chief Executive Officer Jeff Bezos — who made a foray into tablets with the Kindle Fire — carve out a slice of the market for advanced wireless handsets.
Moreover, Amazon is allegedly seeking to obtain patents for wireless technology in order to have a chance in an industry solely dominated by Apple and Google.
There’s no doubt that Amazon has held its own in the tablet industry for nearly a year with their Kindle Fire – a cheap and functional tablet. It’s said that the company will assume the same strategy when entering the smartphone market: produce a product cheap enough to target more than one economic class. Stay tuned for additional coverage on Amazon and the possibility of their entrance into the mobile phone arena.