A-Phone Day Tomorrow

Big day tomorrow – Amazon makes its play for the $350 billion handset market.

With Amazon’s past record of selling hardware at cost, this could be a first-class product at a third-class price.

Last year it hinted at a price of $100-200.

Amazon generated profit of $100 million on $20 billion last year showing it’s still after share not profit.

Apple seems to prefer profit to share, Samsung wants a bit of both and everyone else seems to go for share.

What Amazon is almost bound to do is to make the phone the most brilliant way of ordering goods from Amazon.

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  1. david manners
    June 20, 2014 14:54

    that makes a lot of sense, SilverMan, that explains a lot,

  2. SilverMan
    June 20, 2014 14:31

    The goal with corporations now is to create walled gardens within the internet structure. Amazon is another example of this. For many kids I think facebook is their primary on-ramp to the internet.
    So in a way brands now become “channels” on the internet system (to compare with TV media as an example).
    Maybe that is why facebook is valued so high by wall street?
    Until the next “channel” comes along – if the switching costs are low that is?

  3. david manners
    June 17, 2014 19:28

    You’re spot on Keith this could be scary stuff. The trick is, I feel, to use their subsidised hardware if it’s any good and dump it when it starts to take over your life.

  4. Keith
    June 17, 2014 17:05

    Tediously Amazon somehow managed to replace the Google search bar on Firefox with its own search engine, which, guess what, searches only Amazon stuff. I can do without that sort of nonsense, and have no use for any hardware made by Amazon which is geared towards Amazon.

    Where this is heading is all a bit scary. Imagine a world where there are no local shops, you have to order whatever you want (food, drink, household goods, whatever) online and have it delivered (from Amazon of course). Well that is the Amazon dream, sorry, nightmare.

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