HTC to make future Amazon phones

Discussion in 'Alternatives to iOS and iOS Devices' started by EbookReader, Oct 15, 2013.

  1. EbookReader, Oct 15, 2013
    Last edited: Oct 15, 2013

    EbookReader macrumors 65816

    Apr 3, 2012

    LG makes Nexus phones for Google.
    HTC will make kindlePhone (kPhone) for Amazon.

    Both Google and Amazon are in the "break-even" on hardware, make money on "services" types of company. Same as Xiaomi in China.


    HTC makes a high end specs kPhone for $210. Sell it to Amazon for $250. $40 profits per phone.

    Amazon sells it at "break-even" at $299. ($49 to cover the cost of marketing, storage, shipping, warehouse, returns, customer service, warranty etc...). Amazon makes money from service.

    HTC: win ($40 profits per handset)
    Amazon: win (money from services)
    customer: win (high end unlocked device at $299)

    Amazon can just sell this device on their website (similar to Xiaomi and Google) cutting the physical retail mark-up. See the price of the 16GB Nexus 4 on Google Play ($349) vs. on a T-Mobile store ($499). $150 mark-up.
  2. ucfgrad93 macrumors P6


    Aug 17, 2007
    Am I the only one tired of hearing about the mythical Amazon smartphone? I swear, I'll see a unicorn, Big Foot, the Loch Ness Monster before I ever see an Amazon phone.
  3. EbookReader thread starter macrumors 65816

    Apr 3, 2012

  4. MRU Suspended


    Aug 23, 2005
    God I hope for HTC this isn't a disaster like the HTC First.
  5. EbookReader thread starter macrumors 65816

    Apr 3, 2012
    HTC First is a Facebook phone. That should tell you all you need to know why it was a failure.

    The kindlephone from Amazon (built by HTC) will be along the line of the Nexus 4 or Nexus 5. Or Xiaomi flagship phones.

    unlocked High Specs smartphones at break-even prices. Xiaomi is on track to sell 20 millions of their smartphones in 2013. And the Nexus 5 could sell 10 millions over its lifetime. The Nexus 4 sold around 4 millions.
  6. JaySoul macrumors 68030


    Jan 30, 2008
  7. Razeus macrumors 603

    Jul 11, 2008

Share This Page