Days after Google launched the Nexus 7, a tablet that targets more the Kindle Fire than the Apple iPad, Bloomberg reports, citing two unnamed sources closed to the project, that Amazon is looking to develop a smartphone that will target Apple's iPhone and run on Android, probably using a custom version of the OS it is the case for the Amazon Kindle Fire.
Foxconn International Holdings, which builds the iPhone and the iPad for Apple, is said to be the one chosen to manufacture the handset. The conglomerate is also said to be in charge of building a 10in Kindle 2.
Amazon is also looking to buy patents that cover wireless technology as the company seeks to build a treasure chest to fend off prospective patent infringement allegations. It has recruited Matt Gordon, who used to work as senior director of acquisitions at Intellectual Ventures Management LLC, to become its general manager for patent acquisitions and investments.
Bloomberg says that a smartphone would allow Amazon to get a "wider range of low-priced hardware devices" to stream and display audio, printed text and video. It is likely that Amazon would go for an unlocked, SIM Free smartphone rather than one which is tied to any network operator.
Source : Bloomberg