Report says Amazon is developing an Alexa-focused smartphone

In short: Amazon is reportedly building a new smartphone that puts Alexa at the center, years after its Fire Phone was discontinued.

What happened

Amazon is developing a smartphone code-named “Transformer,” according to Reuters sources cited by The Verge. The project is said to be in early development inside Amazon’s devices and services unit.

The work is reportedly led by a group called ZeroOne, which is about a year old and is headed by J Allard, a former Microsoft executive known for work on Xbox and Zune. Amazon has not commented publicly on the report.

The phone is expected to feature tight integration with Alexa, Amazon’s voice assistant. The idea is that you could use your voice, and AI features, to do things like shop on Amazon, watch Prime Video, listen to Prime Music, and use partner services such as Grubhub. Sources say Alexa is not expected to be the phone’s main operating system, meaning it may still run Android or another standard phone system (the basic software that runs the phone).

Why it matters

If Amazon goes ahead, it would be a second attempt at a consumer phone after the Fire Phone failed in 2014. That device was discontinued after about 14 months, and Amazon took a reported $170 million write-off after cutting the price sharply.

The new plan appears to bet on AI doing more of the “app” work for you, like a helpful concierge that handles tasks without you tapping through multiple icons. But there is no word yet on price or timing, and the project could still be canceled due to cost or shifting strategy.

Source: The Verge AI