Amazon.com, Inc. released its Fire phone a few years ago, but that turned out to be a disaster for the firm, and was discontinued. Amazon doesn’t seem to have any plans for a second-gen Fire Phone anytime soon, but intends to steal Android from Google (now Alphabet) for which it has a Plan B ready.
Amazon poaching Android OEMs away from Google
To be specific, Amazon is negotiating with Android device makers to make use of its own services at factory level instead of Google’s. ‘The Information’ tells us that Amazon is in search of third parties to make a phone that would resemble the Kindle Fire tablets in terms of the software used.
The tech news site has not specifically given names of the Android OEMs negotiating deal with Amazon, but it did say that the online retailer is very much interested in making a firm presence in the mobile devices. It appears, it does not want to remain restricted to merely providing certain apps to shoppers.
It can’t be said for surety whether any Android OEM will dare to go against Google, and create an Android device that comes infused with Amazon.com, Inc. services. Google has firm rules in place that ensure its services, including search, have the most suited placement on the home screen of the devices. In exchange, the Internet firm allows Android OEMs to install their services in Android device including the Play Store.
Amazon Prime – very popular among the US adults
A report released on Monday revealed that one in five adult Americans have subscribed for an Amazon Prime membership. By the end of 2015, the US had 54m Prime members, says Consumer Intelligence Research Partners. This is 21% of the 246m US adult population, and close to half of the U.S. households – 46% – have a Prime membership.
Michael Levin – partner and cofounder of CIRP – said, “That’s probably a better way to think about it, since most couples and families use a single membership.”
In an email to USA Today, the firm said it has tens of millions of Prime members, but it did not disclose the exact Prime membership numbers. The members of Amazon Prime service are eligible for many benefits such as free two-day shipping on millions of items they purchase through the website, and free access to services including Amazon Video and Amazon Music.
CIRP says that Prime members spend about $1,100 per year, making them highly lucrative for Amazon in comparison with the non-members, who just spend $600 per year.
On Monday, Amazon.com, Inc. shares closed up 0.03% at $596.93. Year to date, the stock is down almost 12% while in the last one-year, it is up almost 91%.