What Will Amazon Smartphone Do for Its Business?

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June 18 (Bloomberg) -- Engadget Editor-In-Chief Michael Gorman weighs in on a possible new Amazon smartphone and what that means for the company’s business. He speaks on Bloomberg Television’s “Bloomberg West.” (Source: Bloomberg)

From you.

What do you think will be revolutionary -- what do you think?

Will this be revolutionary, as amazon claims?

I think you need would be the best word for it.

I think it is pretty obvious we will see a phone, something with hardware that sits just below the top tier smartphones that we have.

I don't think it will look like a smartphone or any of the high-end phones, but i do expect it to be built well.

I think the angle will be a 3-d user interface.

It will utilize for cameras that are mounted on the front of the phone that will track your face and head.

And i'm not exact measure how that is going to work out, interacting with your apps and buying stuff from amazon, which i'm sure is what they are hoping it will push for.

But that will be the unique aspect of it will set it apart from other mobile phones that already exist.

And we are waiting for this event to start any moment.

Rat, what are you expecting?

-- brad, what are you expecting?

I think, probably by putting forth amazon's philosophy about hardware, a want to be seen as inventive and different.

Yes talked about this in the past.

Amazon wants to make money on it hardware, not one people buy it, but when they use it.

That is the key differentiating velocity from apple, for example.

This thing will the price at cost.

There might even be some subsidies on the data plan with at&t. they want customers to use it, to shop more, maybe go into physical retail stores and take pictures of items, price match, and then of course, have access to that universe of apps in the amazon app store, some of which i'm sure amazon hopes will help them take advantage of this new 3-d capability.

I think we will start out with securing a vision statement for how amazon expects to compete in this competitive world.

Apparently, amazon has flown in some of its most dedicated customers to seattle.

Cory johnson, what is the latest on the ground there?

Who are we seeing?

The press has continue to dribble in both up some of them have been a little bit late.

Thus far, jeff bezos has not taken the stage and we are not -- we have not gotten the announcement that we are patiently waiting for.

But i think -- and you get it when you read brad's book, which you cannot get on amazon right now because of the battle.

But you can see the lineup with all of the things they do.

It encourages people to use and other amazon services.

We will see what the pricing is, and to whom it is made available, and what it might cost people.

Very low margins, even negative margins may apply in this is.

Amazon announced today they have 240,000 apps.

By comparison, apple and google have more than one million, one point 2 million.

Michael, how much does that matter when it comes to -- how many people will want to use this phone?

I don't dig it will matter a tremendous amount, because i fully expect -- i don't think it will matter a tremendous amount, because i fully expect they will be able to run other apps.

You have always been able to run those on the fire tablet that they put out.

I don't think it is as hermetic the difference as it sounds -- as dramatic a difference as it sounds.

They have their tailored apps that will be good for, maybe the less power users.

This is about them trying to get a broader swath of customers.

Maybe the older customers that are just now getting into the smartphone game, you know, people in their 20's, 30's, 40's, i think they are used to starting with blackberries and now android phones.

They are kind of use to that.

But you have a whole swath of people that are just getting into owning a smartphone for the first time.

Amazon has been going at that less sophisticated market.

They have that made a button.

This text has been automatically generated. It may not be 100% accurate.


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