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Summary

  • Amazon's Fire Phone is the best phone on the market today.
  • The Fire Phone makes Amazon's product ecosystem better than Apple's.
  • Developers, not customers, will determine whether the Fire Phone outsells the iPhone.

This article reviews some of the amazing features included in Amazon's Fire Phone (NASDAQ:AMZN), and how the phone positions Amazon's ecosystem ahead of Apple's (NASDAQ:AAPL).

Amazon has generated a market cap of ~$150B by focusing on earning hundreds of millions of users' trust. Over seven years ago, I stopped wasting time using price comparison websites such as pricegrabber.com, because I was 99% confident that Amazon had the best prices on the market. Over two years ago, I bought my first Kindle and realized that Amazon didn't just sell products at the best price, but also built the best products. The Fire Phone is just another example.

The Fire Phone is the best product on the market because of three innovative features that will change the way we use phones: Dynamic Perspective, Firefly, and Mayday.

  1. Dynamic Perspective calculates your head position relative to your phone, enabling one-handed phone navigation. This means you can read The New York Times using auto-scroll eye tracking, while drinking/holding coffee with your other hand.
  2. Firefly allows people to point their phone at an object and instantly learn about the object. They can also buy the object in one click. The same way that iTunes allowed people to seamlessly buy a song they loved, Firefly will allow people to buy anything from Amazon with just one click. Point, shoot, and buy.
  3. According to Amazon's website, Mayday allows people to "get free, live, on-device video support with an Amazon expert, 24x7, 365 days a year at the touch of a button. No appointments necessary." Wow. Can Apple's Genius Bar compete with that?

More importantly, the Amazon Fire Phone plays a key role closing the gap of Amazon's ecosystem, especially for the 10M+ Prime users.

Amazon is now a holistic experience with the best user experience. Amazon has created another complementary gadget for the amazing Prime features. Users have unlimited cloud storage for photos vs. Apple and Google (NASDAQ:GOOG) (NASDAQ:GOOGL), both of which charge for that. They have the most advanced camera vs. Samsung and the iPhone. The Prime music library will overtake Spotify, Pandora, and iPhone radio. Amazon TV works seamlessly with the Fire Phone. Amazon Prime video is continuing to grow. Why do you need Netflix (NASDAQ:NFLX)?

The success of the phone, I believe, depends on one class of people -- app developers. Will app develops flock to Amazon or continue with iOS?

On another note, Jeff Bezos stole a few pages out of Steve Jobs' playbook:

  1. Obsess about the accessories -- Bezos created headphones that do not get tangled (I guess it's a good thing Apple bought Beats)
  2. Exclusive contract with AT&T (NYSE:T)
Source: Amazon Has The Best Phone And May Develop The Best Ecosystem