Amazon phone to take on iPhone 4S and Galaxy S2?

Rumours suggest a Android smartphone is on the way

With the huge success of the Amazon Kindle Fire, it now looks like the company will be looking to enter the smartphone market as well...

Rumours have surfaced suggesting that we could well see a Amazon smartphone running Android which could well be a competitor to the likes of the Apple iPhone 4S and Samsung Galaxy S2.

The rumours have come from Citigroup's research department who have been looking at the Amazon supply chain and have come to this conclusion:

"Based on our supply chain channel checks in Asia led by Kevin Chang, Citi’s Taipei-based hardware research analyst, we believe an Amazon Smartphone will be launched in 4Q12. Based on our supply chain check, we believe FIH is now jointly developing the phone with Amazon."

Citigroup's statement goes on to point out that if they are to prepared to sell the product at a loss (as they do with the Amazon Kindle Fire) they could well be able to come up with an Android device that will massively undercut rivals. While it's plausible that it could be a premium device, Citigroup believes any Amazon smartphone is likely to compete with the budget market offering higher specs but for a lower price.

What do you think, will Amazon release a smartphone, would you buy one? Let us know via the comments box below...

Source: All things D

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