While Amazon’s first foray into the smartphone market wasn’t exactly a success, they are far from giving up making an impact in the mobile market.
The Kindle Fire phone from Amazon was an uncommon slip for the company. Amazon jumped right into the high-end market for smartphones instead of leading with a midrange product that will be affordable and hence the sales suffered. The Fire Phone was killed by the company quietly after less than a year of its launch, however, the downfall of the product didn’t kill the dreams of Amazon.
Amazon is keen on working with a third-party manufacturer to increase more profound access to Android. The sales giant wants to do considerably more than just preload apps. The objective is to generate a third-party device that used the Amazon’s Kindle software and UI to imitate the experience already available on the Amazon Fire tablet.
It could be a win-win situation. Amazon will have access to a stage to roll out new capabilities and services, as well as access to Amazon Prime customers. The manufacturer of the device might be able to gain some profit if the customers signed up for the Amazon Prime or when they bought products via their phones. Such deals are already offered by Amazon for the companies who bundle preloaded apps.
Even though the option isn’t even available yet, the partners of Amazon will gain access to Amazon’s storefront and product capabilities without developing such options by themselves.
It is not yet clear whether the users are going to be pleased with the same level of deep integration by Amazon. The hardware division of Amazon has been a platform for great sales to Amazon.com; however the organization used to go to great lengths to hide this fact. The latest version of the FireOS has more space to advertisements, and any theoretical smartphone would heavily promote and bundle Amazon Prime and its different features instead of merging with popular services such as Netflix.
None of these choices are breaking any deals, and it is obvious for Amazon to look for partnerships with third-parties as they want to grow FireOS for a genuine alternative for Google. With the relatively small Kindle market right now, few people are fully connected with the Amazon app ecosystem.
If it works, we will be seeing Amazon offering smartphones at a discount as an Amazon Perk, or give away Prime as a part of a high-end purchase of a smartphone.