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

    Joined:
    Apr 3, 2012
    #1
    http://www.theverge.com/2013/10/15/4841260/htc-rumored-to-make-amazon-phone

    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.




    Example:

    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

    ucfgrad93

    Joined:
    Aug 17, 2007
    Location:
    Colorado
    #2
    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

    Joined:
    Apr 3, 2012
    #3
    http://www.ft.com/intl/cms/s/0/8751175e-35ab-11e3-b539-00144feab7de.html#axzz2hrZGnntC


     
  4. MRU macrumors demi-god

    MRU

    Joined:
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    Location:
    Ireland
    #4
    God I hope for HTC this isn't a disaster like the HTC First.
     
  5. EbookReader thread starter macrumors 65816

    Joined:
    Apr 3, 2012
    #5
    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 68020

    JaySoul

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  7. Razeus macrumors 601

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