Recently, Amazon.com Inc (NASDAQ: AMZN) announced that it would be releasing a new smartphone, called the Fire Phone. This phone is slated to compete with the iPhone 5S and the Galaxy S5, which caused concerns since the space is already highly competitive. Amazon’s Fire Phone could only hope to be able to compete on the same level as other industry leading smartphones if it offers users incredible features and capabilities that are not offered by other established brands in the market.

In an interview, Ryan Block from AOL spoke on the topic of Amazon’s new smartphone. He reiterated the opinion of many analysts from Wall Street, who believe that the devices is doomed for failure given its current lackluster features and high price point. The only way the Fire Phone could have had a chance at being successful is if it boasted faster mover capabilities, which it doesn’t. Impressive and innovative features or a more appealing price point would have also sharpened its competitive edge against other established brands.

Additionally, the phone is unable to incorporate some Android apps that are the norm for other phones in the smartphone industry. Given the timing of the Fire Phone’s launch, Amazon may be willing to reduce the price as the year approaches the holiday season. This is a common method to sell off most of the units with the intention of adopting the new price in the future.

The smartphone industry is one of the most competitive spaces in the market. It is dominated by companies like Apple Inc. (NASDAQ: AAPL) and Samsung. It is unlikely that people would make the switch to Amazon’s Fire Phone, and this venture is sure to fall short of expectations.

Amazon Opens Five New Warehouses in India

Amazon released a statement on Monday, say that the company’s India branch is said to open five new warehouses in the Southeast Asian country. This will increase its storage capacity to twice its previous size, to approximately half a millions square feet.

Currently, Amazon functions with two fulfillment centers, or warehouses, that are located just outside of Mumbai and Bangalore. The new warehouses that it will open will be located in Dehli, Jaipur, Chennai, Gurgaon, and Ahmedabad.

Through this expansion, Amazon will be able to expand its same day delivery and next day delivery services.

The company’s India based website was launched in June of 2013. It manages a marketplace where vendors can sell their products to customers.

Pricing Power in 3D Printing

Monday morning, Amazon also announced that it will be providing customers with a 3D printing service that allows the customers to order customized items from third party vendors. Customers can create a wide variety of items, including earrings, toys, and other items.

There will be a new personalization option installed on its website for this service.

The pricing of this service will most likely not be ridiculously high, but is likely to yield high profit margins.

 

 

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