AT&T is reported to be the exclusive carrier.
So how will Amazon differentiate itself in this competitive field?
Many people are speculating that Amazon's phone will have 3D capabilities. That's neat, but 3D has yet to catch on with consumers in other areas. 3D televisions, for instance, have widely been considered a flop.
What else would an Amazon smartphone need to drive customers away from Samsung or Apple?
Perhaps a lower price. That's arguably how the Kindle Fire has managed to carve out its niche in the tablet market, which has an estimated 7-8% market share. Amazon seems to have no problem selling its hardware at a loss to attract users who ultimately buy products/content from its website. My guess is that its smartphone will be no different.