The online retailer Amazon have announced that they will not be offering free smartphones for their customers following a frenzy of news stories over the weekend stating that when the online giants release their own smartphone onto the market that it could be free.
Before the weekend it was reported that Amazon had plans to release their own smartphone and would be giving the phone away for free, however a new statement from Amazon has denied the claim.
The story was seen as very important if it was true because it would leave the other leading smartphone makers such as Apple and Samsung left with the decision about how they would be able to possibly attract customers to part with their hard earned cash for a phone that they could potentially get for free from another retailer.
Following all the news stories and speculation Amazon released a statement on Sunday September 8 stating 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.”
Why the story was seen as being true by many news stories came down to the fact that it is not unheard of for huge retailers to take very bold moves to try and undercut their rivals and by offering a free phone Amazon would be sure to corner the market with their product.
In America their are companies that offer smartphones for as little as $1 when the customer also signs up for a contract and these phones are far from standard mobile phones and are instead usually high end models designed to make money from contract agreements and not for making money from the sale of the phone itself.
Already the market for non smartphones has seen prices plummeting as retailers try to gain as much market share as possible in the smartphone market but this was the first real talk of a retailer trying to attack the high end market for smartphones.
While Amazon have said that they will not be releasing their own smartphone this year the company have been working for the past two years on their own smartphone model to offer customers.
The Wall Street Journal wrote recently that Amazon had plans to release not one but two different smartphones, including a very high end model which would have the capability of rendering three dimensional images.
Amazon have taken time to enter the smartphone market because reports have said that the company has struggled to find a partner for the devices, however while any new smartphone from Amazon may not be free in the future when it is released you can be sure that the company have plenty of surprises up their sleeve to make their phone one of the most desirable on the market.