Amazon Kindle Phone

Foxconn has allegedly started building Amazon's smartphone, according to a report published by Cens recently. The device is expected to launch sometime in the middle of next year and will be priced between $100 and $200, presumably with a subsidy and contract from a wireless carrier. Amazon is also expected to launch another Kindle Fire during Q3 of next year. Apparently J Touch Corp and Young Fast Optoelectronics Co will be providing the displays for the smartphone, since both firms have close working ties with Foxconn, although that has not yet been confirmed.

We've long heard reports that Amazon is working on its own smartphone, likely powered by Android, to join its growing line of Kindle Fire tablets. A report from The Wall Street Journal suggested that the device will pack a 4-inch to 5-inch screen. Other reports, however, predicted that Amazon was going to launch the phone this year.

In any case, it seems bound to happen as Amazon continues to compete in the mobile space against rivals Apple, Google, Samsung and Barnes & Noble. We already know that it doesn't make a profit on its Kindle Fire HD tablets, which are priced at $199, so it's possible that my assumptions of a subsidy are wrong.

Do you think Amazon will really release a $200 smartphone without a contract?