HOME     MENU     SEARCH     NEWSLETTER    
CUSTOMER RELATIONSHIP MANAGEMENT NEWS. UPDATED 12 MINUTES AGO.
You are here: Home / Business Briefing / An AT&T, Amazon Smartphone Deal?
Report: AT&T Snags Amazon Smartphone Exclusive
Report: AT&T Snags Amazon Smartphone Exclusive
By Jennifer LeClaire / CRM Daily Like this on Facebook Tweet this Link thison Linkedin Link this on Google Plus
PUBLISHED:
JUNE
17
2014



There’s much ado about the rumored Amazon smartphone. With a June 18 debut expected, there’s now speculation over which carriers will feature the mobile device. AT&T will have an exclusive deal, according to the Wall Street Journal.

Citing “people familiar with the plans,” the Journal notes that arrangement extends Amazon's relationship with AT&T. The carrier also provides wireless service to Kindle tablets and e-readers. Much like the iPhone bolstered AT&T’s sales when it had the exclusive deal with Apple, some are predicting the Amazon device could be a boon for the United States’ second-largest carrier.

“Amazon hopes to distinguish its phone in a crowded market with a screen capable of displaying seemingly three-dimensional images without special glasses, these people said," the Journal reported back in April when it first broke the story. "They said the phone would employ retina-tracking technology embedded in four front-facing cameras, or sensors, to make some images appear to be 3-D, similar to a hologram."

Pressure to Perform

We caught up with Jeff Kagan, an independent telecom analyst, to get his take on AT&T’s rumored Amazon smartphone coup. He told us AT&T is the innovation leader in the wireless carrier space -- first with the Apple iPhone and now reportedly first with the Amazon smartphone.

“This will give AT&T a marketing edge the same way it had the first three years with the iPhone,” Kagan said. “AT&T and Verizon may be top of the charts as leaders in the wireless space, but they are very different companies. AT&T is an innovator. Verizon always takes longer and plays it safe.”

As Kagan sees it, the eyes of the technology world are on the new Amazon smartphone brand and the device should continue to generate buzz for a while. But that doesn’t take the pressure off AT&T to perform.

“The next big question is will this Amazon.com smartphone be a success like the iPhone or a failure like the Facebook phone,” Kagan said. “We'll just have to wait and see.”

Room for Amazon?

Amazon could not immediately be reached for comment, but if the various leaks prove true it would mean the e-commerce company is entering the smartphone fray at a time when market research firm IDC predicts the sales growth rate in the sector will sharply decline. Despite the high growth expected in many emerging markets, 2014 will mark the year smartphone growth drops more significantly than ever before, with only a 19.3 percent year-over-year growth, according to the firm's Worldwide Quarterly Mobile Phone Tracker.

"2014 will be an enormous transition year for the smartphone market," said Ryan Reith, program director with IDC's Worldwide Quarterly Mobile Phone Tracker. "Not only will growth decline more than ever before, but the driving forces behind smartphone adoption are changing. New markets for growth bring different rules to play by and 'premium' will not be a major factor in the regions driving overall market growth."

What’s more, comScore reports that Apple and Samsung are the clear leaders in the smartphone market. With a whopping 60 percent of the market share between then, it doesn’t leave much room for existing players, much less new entrants. Nokia and BlackBerry have both struggled in the wake of the success of Apple and Samsung.

Tell Us What You Think
Comment:

Name:

Competitor:
Posted: 2014-06-17 @ 9:25pm PT
Those exclusive deals are plain stupid. I do not want a "subsidy". I want an unlocked phone and the freedom to choose the best carrier around.

Like Us on FacebookFollow Us on Twitter
TOP STORIES NOW
MAY INTEREST YOU
ISACA® offers a global community of more than 115,000 IS/IT constituents in over 180 countries. We develop and deliver industry-leading certifications, education, research and business frameworks. We equip individuals to be leaders in the fast-changing world of information systems and IT - Learn More>
MORE IN BUSINESS BRIEFING
Product Information and Resources for Technology You Can Use To Boost Your Business

NETWORK SECURITY SPOTLIGHT
Using Internet-connected devices without strong passwords is inherently risky, as illustrated by reports that a Russian Web site is showing live footage from thousands of people's webcams.

ENTERPRISE HARDWARE SPOTLIGHT
Doctor Who had K-9, the robot dog that accompanied him on adventures through space. Now, Mountain View has K5, a 5-foot-tall, 300-pound robot security guard patrolling in the Bay Area.

MOBILE TECHNOLOGY SPOTLIGHT
To better its customer service, Comcast is pulling out at least some of the stops. The cable giant has launched an app so you can track the cable guy in real time. It's designed to ease customer frustration.

© Copyright 2014 NewsFactor Network, Inc. All rights reserved. Member of Accuserve Ad Network.