Putting the rumor mill to rest, a report has revealed that Amazon is planning to launch its own Smartphone. The report says that Amazon is developing an Android device that’s being made by Foxconn. Amazon aims to develop this smartphone as a rival to Apple’s iPhone.

Amazon recently surprised the world by unveiling its tablet, which was under wraps since long. Now with the news of an Amazon smartphone, speculators are wondering if investing in smartphones is the right move and if the company will be able to mark its stand in this challenging market.

If reports are to be believed, Aamazon is planning to build its smartphones differently from the rest. Amazon has bought the service All Things Digital from cellular networks in bulk, which will make the operation of its upcoming phone completely different compared to the other smartphones available in the market. How easily users will adapt to this will only be clear once the phone is launched.

Another challenge that the company is going to face is making its stand in this competitive market. Experts are of the view that the tablet market is different from that of smartphones. Amazon was able to attract buyers for its tablet easily because there are not many options in the market. But this is not true in case of smartphones. Here, the company will have to face competition from much established brands such as HTC, Motorola and Samsung.

However, all mouths will be shut if Amazon successfully comes up with a world class product. One that is much better from all that are available in the market. For that Amazon will have to work hard and make some notable changes in its system. For example, the e-mail program on the Kindle Fire leaves a lot to be desired and would likely frustrate anyone trying to compose more than a few lines on the device at a time.

Nevertheless, one fact that cannot be ignored is that if Amazon is able to attract good amount of customers towards its smartphones, then that will change the face of the company. One possible way to attract customers towards its new product is by offering the smartphone at an irresistible price.