Amazon discontinuing its Fire Phone handset

Amazon discontinuing its Fire Phone handset

Online retail giant Amazon has decided to discontinue Fire Phone -- the company’s first smartphone which was launched in June 2014.

The launch of Fire Phone marked Amazon’s somewhat late foray into the smartphone arena; but the company was apparently quite optimistic that the handset would be well received by consumers. However, according to some experts and market watchers, Amazon was so late in jumping on the smartphone bandwagon, that the Fire Phone was destined to fail, right at the outset.

Despite the fact that the Amazon Fire Phone’s main selling point was the Dynamic Perspective, a 3D user interface which was based on the 4 front-facing cameras, most consumers felt that the feature was more of a gimmick, and were thus not interested in buying the handset.

With the experimental Fire Phone eventually costing Amazon a reported $170 million in losses, the company’s CEO Jeff Bezos had himself acknowledged the fact that the handset was a failure; though he also added that the failure was a "smart" one.

Amazon’s recent disclosure that the Fire Phone is being discontinued comes amid recent reports that the company is restructuring its hardware efforts. As a result of the restructuring dozens of engineers from the company’s secretive Lab126 hardware unit - responsible for the Fire Phone - are being laid off.

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