Seattle: Amazon is planning a return to the smartphone market more than ten years after the disastrous launch of its Fire Phone.
The original Fire Phone, introduced in 2014 under the direct supervision of founder Jeff Bezos, was meant to challenge Apple and Samsung but was discontinued after just over a year, becoming one of Amazon’s most high-profile flops.
The new device, internally codenamed “Transformer,” is being developed within Amazon’s devices and services unit, according to sources familiar with the project.
The phone is envisioned as a highly personalized mobile device that integrates seamlessly with Alexa and serves as a daily conduit for Amazon’s customers.
The Transformer aims to make shopping on Amazon, streaming Prime Video, listening to Prime Music, and ordering food from partner services easier than ever.
Artificial intelligence features may eliminate the need for traditional app stores, streamlining access to content and services.
This initiative reflects Bezos’ long-term vision of a ubiquitous, voice-driven computing assistant, similar to the AI in science fiction series like Star Trek. While Alexa is expected to play a central role, it may not serve as the phone’s primary operating system.
Amazon faces the challenge of competing against entrenched leaders Apple and Samsung, which together captured about 40% of global smartphone sales last year, according to Counterpoint Research. Compounding the challenge, global smartphone shipments are forecast to decline 13% in 2026 due to rising memory chip prices, according to the International Data Corporation.
The company hopes to avoid past pitfalls of the Fire Phone, which suffered from a proprietary operating system lacking popular apps, battery-draining 3D display technology, and weak consumer adoption despite a free Amazon Prime trial. Amazon had ultimately canceled the Fire Phone after 14 months, taking a $170 million charge for unsold inventory.
With the Transformer, Amazon aims to combine AI, personalized shopping, and entertainment into a single device to make a stronger mark in the smartphone market.
