Amazon is working with Chinese manufacturer Foxconn on the device, Bloomberg said in a report, citing “people with knowledge of the matter.”
According to the report, Amazon is also seeking to acquire patents that cover wireless technology to help it defend against allegations of infringement, which is raging in the smartphone industry.
The report, however, didn’t give details such as what operating system the phone may run and when it will be released.
In addition to Amazon’s devices like Kindle Fire tablet, a self- owned smartphone would expand Amazon’s offering of hardware products to bolster its strategy of making money from digital books, songs and movies.
Though the possibility of an Amazon smartphone is not seen as a surprise, the company’s potential foray into the segment at this point “yields more questions than answers” including carrier support and how an Amazon phone could make itself stand out among a crowd of competitors, said technology news site TechCrunch in a separate report.
“Amazon has a chance at successfully cracking the smartphone market, but they’ve got a long road ahead of them,” said TechCrunch.