Amazon prepares Ai-powered smartphone comeback with new device

Friday 20 March 2026 - 17:20

More than a decade after its first failed attempt in the smartphone market, Amazon is reportedly preparing a return with a new artificial intelligence-powered device designed to integrate its ecosystem of services.

The project, still under development, is expected to center on advanced AI features and deep integration with Alexa, the company’s voice assistant. The goal is to create a highly personalized user experience, allowing seamless access to shopping, entertainment, and digital services.

The upcoming device, sometimes referred to as “Transformer” in early reports, could offer users direct access to Amazon’s platforms, including e-commerce, streaming content, and partner services. Subscribers to premium programs may benefit from exclusive offers, discounts, and faster delivery options, further embedding the smartphone within Amazon’s broader ecosystem.

Artificial intelligence is expected to play a central role, building on recent advancements in generative AI and the evolution of Alexa into a more sophisticated assistant. This move reflects Amazon’s ambition to close the technological gap with major competitors such as Google and Meta, both of which have accelerated their AI strategies in recent years.

Amazon’s renewed interest in smartphones follows the failure of its 2014 device, the Fire Phone, which struggled to gain traction despite innovative features. The product was eventually discontinued after weak sales and financial losses.

With this new initiative, Amazon appears to be betting on AI-driven personalization and ecosystem integration to differentiate itself in a highly competitive market still dominated by major players like Apple and Samsung.

However, the timing presents challenges. Industry forecasts suggest a potential slowdown in global smartphone sales, driven in part by rising component costs and shifting consumer behavior. Amazon’s success will likely depend on its ability to offer a compelling alternative in a saturated market.