The smartphone market is a hectic one. Multiple companies and carriers are constantly competing with one another, and with the introduction of Android years ago, the amount of new devices currently on the market is hard to keep up with. Amazon recently got into the tablet game releasing their Kindle Fire, a 7 inch, dual core Android tablet that launched last fall and went on to do extremely well.
This is what prompted Google to create their own 7 inch tablet, the Nexus 7, after seeing how well that sized tablet can do if priced right and powerful enough. According to a new report, it seems that disrupting the tablet market isn't enough for Amazon, the World's largest e-commerce company. Bloomberg claims that two credible sources with insider knowledge say that the company is working on their very own smartphone which will be manufactured by Foxconn.
Foxconn is the largest manufacturer of electronic components on the planet, making products for Apple, Dell, Samsung, Motorola Mobility, and many others. Last year, Citigroup analyst Mark Mahaney said that Amazon's own smartphone will launch Q4 of this year and the cost to build would be between $150 and $170 which would price it very well.
Amazon, like Google, understands that the money isn't necessarily in the phone, but the ecosystem and the e-commerce company has been working on pushing their very own app store including movies, TV shows, and more. This smartphone, if it proves to be legit, will likely feature the Amazon app store. They don't stand to make much, if any money at all on the device, but do with what people will buy to put on the phone.