Rumor: Amazon could offer its smartphone for free, without carrier contract

September 6, 2013

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    For years now we’ve been hearing about how Amazon will release its own smartphone, likely under the Kindle Fire brand. We’ve even heard reports on the company developing a phone with 3D display technology, expanding their R&D office space and testing a secret wireless network. Even after all of the rumors and speculation, Amazon has yet to announce a handset of their own.

    While we wouldn’t be that surprised if Amazon did eventually release some kind of smartphone, today’s rumor seems pretty far out in the left field. According to sources reporting to former Wall Street Journal reporter, Jessica E. Lessin, Amazon’s handset will be free of charge.

    As soon as we hear the word ‘free’ next to phone, some red flags immediately come up.

    An Amazon phone that is free with paid Amazon Prime service and a two-year contract doesn't seem all that crazy. But no carrier contract at all? It seems hard to believe that Amazon could pull off such a risky move.

    Few things in life are free, and phones are never one of them. Sure, they might be free up front, but there’s always a catch – usually a two-year contract. That’s where this rumor gets a little crazy, word has it that Amazon is interested in offering their handset free with or without a carrier contract.

    First thought: No way in hell.

    Second thought: The sources say no carrier contract – it doesn’t say anything about whether or not Amazon would require its own service agreements.

    IF (and it’s a big if) Amazon was to give away a phone absolutely free with no carrier contract, the phone would likely be offered through its online website and would require several years of Amazon Prime, and perhaps even some other premium services or subscriptions that they’ve yet to announce.

    The sources also claim that – in addition to selling it through the website – Amazon is looking into selling the phone via carriers. Of course, no carrier is going to give away a phone for free without a contract.

    Could Amazon pull this off?

    Subsidizing a phone isn’t anything new, as carriers do it all the time. An Amazon phone that is free with paid Amazon Prime service and a two-year contract doesn’t seem all that crazy. But no carrier contract at all? It seems hard to believe that Amazon could pull off such a risky move.

    Sure, an Amazon phone would run a forked version of Android that is highly integrated into Amazon services (and without Google Play), but could Amazon apps, media purchases and Amazon Prime be enough to recoup the costs involved here? Doesn’t seem that likely, but I suppose anything is possible. If it does happen, you can safely bet that the phone will be littered with ads throughout the UI and lockscreen.

    What do you think of this latest Amazon smartphone rumor? If it did happen would you be willing to sign up for Amazon Prime and endure ads, all for the sake of getting a free phone?

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    Comments

    • JagaJaga

      Nah, I rather fork over 200$ for a nexus or buy something used then become amazon’s b*#$h

      • bungadudu

        So you prefer to pay 200$ to Verizon just to be it’s b1atch…

        Interesting…

        • Mr Mop

          Someone doesn’t know what they’re talking about…

          • Lisandro O Oocks

            Says the one with a windows logo

    • Alex Ohannes

      The formatting is weird at the end of the article.

    • APai

      amazon is a leech, no respect for the bozo

    • Ruz

      Yea now i am eligible for a free phone since i have already purchased goods worth over $10000s

    • rav

      just curious how they would sell this for a cdma network like Verizon. It’s closed and Verizon would have to agree to this. don’t see that happening so probably going to be either t-mo or at&t carriers for the user

      • terry

        they could make it a dual sim, or unlocked so it could work on ANY network.

    • Q.

      From what I’ve heard Amazons forked Android OS is more restrictive than WP.

    • http://btlr.com/ Jacob

      why not? Free phone + free calls + free messages = freely exploit users’ data

    • andrew

      As Amazon is not known for smartphones surely this could be an opportunity to utilize one of 2 new operating systems which will see the light of day early next year, through a few of the already established players.i.e. Sony.
      Firefox and Linux Ubuntu have generated much interest of late. Both require minimal hardware apparently.
      Imagine though, either one running on a 1.7 or 1.9Ghz quadcore 5″ device with the current 1080p screen that virtually touches all 4 sides.
      A smartphone that is optimized for reading, web browsing etc but sells for $250 -$350 with a very cool looking and tough carbon fibre body.
      It is time for another O/S to enter the market. We need another ‘open source’ alternative out there.
      If not, Blackberry’s yet to be released Z30 is becoming more appealing by the day.

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