Amazon is developing a new smartphone more than 11 years after discontinuing its Fire Phone, signaling a renewed push into hardware tied closely to its artificial intelligence ecosystem.
According to a report by Reuters, the device is internally codenamed “Transformer” and is being built by Amazon’s Devices and Services division. The smartphone is expected to include personalized features designed to streamline access to Amazon’s core apps, including its shopping platform, Prime Video, and Prime Music.
AI Integration And Alexa Focus
Artificial intelligence is expected to play a central role in the device. The smartphone will support Alexa, Amazon’s smart assistant, which the company has been expanding with new AI capabilities and broader integration across its ecosystem of devices.
Internally, the smartphone is seen as a way to drive adoption of Amazon’s AI tools. The report indicates that AI features will be a primary focus, aligning the device with the company’s broader efforts to embed AI into its consumer offerings.
Amazon has recently updated Alexa with generative AI capabilities, launching a new version called Alexa+. The assistant retains its smart home functions while adding features such as trip planning, shared calendar updates, recipe storage, movie recommendations, homework assistance, and general information exploration.
Development Team And Internal Structure
The project is being developed by a unit within the Devices division known as ZeroOne. The group is led by J Allard, who previously played a role in creating the Xbox during his time at Microsoft.
The involvement of a relatively new internal team suggests the company is structuring the effort separately from its earlier hardware initiatives.
Part Of Broader AI Investment Strategy
The smartphone development comes as Amazon increases its investment in artificial intelligence and related infrastructure. The company has recently committed $50 billion to OpenAI and has projected $200 billion in capital expenditures in 2026 focused on AI, semiconductor development, and robotics.
These investments reflect a broader strategy to integrate AI across Amazon’s services and devices, with the smartphone positioned as another entry point for users into that ecosystem.
Featured image credits: Wikimedia Commons
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