Editor in Chief
- Dec 30, 2010
- Reaction score
- Austin, TX
We found an interesting new report about the massive failure that is the Amazon Fire Phone. It turns out that it may have been AT&T's fault. The reason it turned out to be AT&T's fault is a small convoluted mess.
The quick summation is that Amazon and HTC were collaborating since last year on a budget smartphone of some kind. Supposedly, AT&T got wind of it and decided to step in by insisting on an exclusive deal. They pressured Amazon by refusing to do the higher end Amazon Fire phone if they didn't also get exclusive rights to both phones.
In the end, Amazon killed the team-up with HTC and AT&T still insisted on an exclusive deal with Amazon for the Fire Phone. As has been shown time and time again, too much exclusivity on a device can severely hamper the success of that device. This also destroyed Amazon's chance to enter the smartphone market with a budget-friendly product category which could have generated more branding buzz. Thus was born the eventual downfall of the Amazon Fire Phone.
On top of this, there were supposedly talks in which Amazon might have been considering an acquisition of HTC. Unfortunately, (assuming these reports are true), AT&T's strong-arm tactics derailed all of this.