Mobile

Industry News

GeekWire

Amazon Is Building a New Phone, and the Xbox Co-Founder Is Behind It

Summary

Amazon has an internal team called ZeroOne, led by J Allard (the Microsoft veteran who co-created Xbox), quietly working on a new AI-first smartphone codenamed “Transformer.” The device is designed around deep Alexa integration for shopping, streaming, and Amazon services, and is still in development with no carrier talks started yet. A product announcement is expected sometime in the late 2026 to early 2027 window, based on the team’s stated 18-24-month timeline.

Why it matters

Amazon’s first phone, the Fire Phone, was a $170 million disaster. This time the bet is different: Alexa AI is meaningfully more capable, and J Allard has a track record of shipping new categories, not just iterating on existing ones. Worth watching if you cover Amazon hardware.

HTD Says

Amazon is taking another shot at a phone, and putting the guy who built Xbox in charge of it is either a great sign or a very expensive history lesson waiting to happen. This is actually quite an interesting but not surprising move. Elon Musk is launching a smartphone as well that is purely AI-driven (using Grok). Chinese smartphone manufacturers are doing something similar as well.

Think about “traditional” smartphones and their operating systems from Apple and Google. They manage and house collections of apps. And, in the operating system, AI is built into the underpinnings and the functionality. Some apps can leverage OS-level AI, while others ARE AI (e.g., Anthropic’s Claude, OpenAI’s ChatGPT, Google’s Gemini).

These new types of smartphones where EVERYTHING is AI will continue to become prevalent. I don’t think they will replace or surpass iOS or Android, but I do think they will put pressure on Apple and Google to ensure that all future OS updates are AI-forward rather than just AI-integrated. It’s going to get interesting!

- Advertisements -

Source:

GeekWire

Uh-oh! It looks like you're using an ad blocker.

HighTechDad.com relies on ads to provide free content and sustain my operations. By turning off your ad blocker for HighTechDad, you help support me and ensure I can continue offering valuable content without any cost to you.

I truly appreciate your understanding and support. Thank you for considering disabling your ad blocker for this website!

Cheers, Michael ("HighTechDad")