In 2014, Amazon introduced its first smartphone, hoping to take on Apple and Samsung. Instead, the Fire Phone – overseen directly by founder Jeff Bezos – was scrapped in barely over a year, one of Amazon’s highest-profile flops. Now, Amazon is dialling up a new phone.
The latest effort, known internally as ‘Transformer’, is being developed within its devices and services unit, according to sources familiar with the matter. The phone is seen as a potential mobile personalisation device that can sync with home voice assistant Alexa and serve as a conduit to Amazon customers throughout the day, the sources said. The initiative is the newest chapter in a years-long effort to bring to market Bezos’ long-held vision of a ubiquitous voice-driven computing assistant akin to the voice-controlled computer in science fiction series Star Trek.
Bezos had envisioned a smartphone that had shopping at its core and could take on Apple by offering shipping convenience and discounts through the Prime membership. Along the way, Amazon could gain a wealth of new data about users only available through mobile phones combined with purchase history and content preferences.
Amazon’s effort to develop a new smartphone has not been previously reported. Reuters could not determine some details, such as the anticipated price of the phone, the revenue Amazon hopes to generate, or the financial commitment Amazon has made to the project.
The timeline for Amazon’s Transformer project is also unclear, and the people cautioned it could be scrapped if the strategy shifts or due to financial concerns.
As envisioned, the new phone’s personalisation features would make buying from Amazon.com, watching Prime Video, listening to Prime Music or ordering food from partners like Grubhub easier than ever, the sources said.
A key focus of the Transformer project has been integrating artificial intelligence capabilities into the device. That could eliminate the need for traditional app stores, which require downloading and registering for applications before they can be used.
Alexa would likely be a core feature but not necessarily the primary operating system of the phone, the sources said. Alexa, which underwent a multi-year AI-led revamp before its new launch in 2025, is seen internally as critical to Amazon’s future in consumer-facing services. The phone is another attempt by Amazon to accelerate customers’ AI usage either on the device or through Alexa.
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