Amazon Announces No Free Smartphones

Have you heard the rumor about Amazon offering free smartphones for people who sign up for their new wireless plan?

Yeah, I’ve heard those rumors too. I have to admit that I was actually rather excited about the idea, but after doing a little more digging around for information on the Internet, I’m sorry to say that it’s all just been speculation, mostly on the part of the media.


Well, at least for now — that is.


Amazon spokesman Drew Herdener put the rumor to rest earlier this month when he sent an email to USA Today stating in part that, “We have no plans to offer a phone this year, and if we were to launch a phone in the future, it would not be free.”


Still, some of the rumors persist. There are some who still think that Amazon might be planning to release a phone in the not too distant future. Instead of giving the smartphones away, however, the company would sell the devices at cost. In other words, they would sell the device at a low price forgoing the profit so that they could make the money back on the content or service that the users buy to go with the device.


Sounds familiar? It should. If this is actually what they are planning to do, Amazon would in affect be taking another swing at Apple and their products, since this is exactly what Amazon did when they introduced the Kindle tablets, effectively undercutting the price that Apple had on their iPads.


This guest post was contributed by Kat Simpson. Kat is a trusted eCommerce author, speaker, educator, and entrepreneur. Kat Simpson has been a successful eCommerce merchant for over 10 years; is an eBay Education Specialist and Gold Level PowerSeller, as well as a successful Amazon merchant. Currently Kat is the hosts the popular weekly eCommerce Podcast That Kat Radio and an active Facebook Group ThatKat.

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