Amazon working on new smartphone with Alexa at its core, report says

Amazon is reportedly developing a new smartphone, codenamed "Transformer," marking its return to the smartphone market more than 11 years after its initial unsuccessful attempt. The device is being created by Amazon’s Devices and Services division, with a focus on integrating and enhancing the use of Amazon’s ecosystem, including apps like Amazon Shopping, Prime Video, and Prime Music. A key feature of the phone will be deep support for Alexa, Amazon’s smart assistant, which has recently been upgraded with generative AI capabilities. The new smartphone aims to leverage AI extensively, positioning itself as a tool to encourage greater adoption of Amazon’s AI-driven products and services. This development aligns with Amazon’s broader strategy of investing heavily in AI, chips, and robotics, with significant efforts planned through 2026. The project is reportedly being handled by a newer unit within the Devices division, reflecting Amazon’s commitment to embedding advanced AI features into its hardware offerings. Amazon has declined to comment on the report.