Has Amazon's Fire phone already been extinguished? Claims handset sales of 'holophone' are poor
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Amazon launched its first mobile phone in a blaze of publicity in its bid to take on Apple and Google.
However, one tracking firm claims the launch has been a damp squib, claiming the phone has been outsold by all its rivals.
Amazon has refused to reveal just how many handsets it has sold.
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Amazon CEO Jeff Bezos holds up the new Amazon Fire Phone. The handset has a 4.7-inch display with 720p HD resolution, a quad-core Qualcomm Snapdragon processor, 2GB of RAM, and six individual camera modules to make the 3D effect work.
HOW THE FIRE DISPLAY WORKS
The device has a front facing camera in each corner of the screen.
These extra cameras are used to track the position of the user's face and eyes in relation to the phone's display.
The handset chooses the two best views, and can even work at night using infrared.
This allows Amazon's software to make constant adjustments to the positioning of on-screen elements, altering the perspective of visuals on the screen and making them appear to be in 3D - without the need for glasses.
'While the Fire Phone was listed atop Amazon's Best Seller list for several days in early August, North American usage of the device has grown only incrementally, rather than exponentially, in the three weeks following the smartphone's launch as an AT&T exclusive,' ad firm Chitika Insights said.
It analyzed tens of millions of U.S. and Canadian smartphone-based online ad impressions generated within the Chitika Ad Network from July 25 through August 14, 2014.
The Fire phone's usage share is .02%, which puts its launch on par with that of the Motorola Droid Ultra, but below the launch of the LG G3
Chitika said the Fire had performed badly compared to LG's recently released G3.
'Usage rates of the LG G3 rose relatively sharply following its release earlier in the summer, particularly once Verizon and Sprint began offering the device on July 17 and 18, respectively.
'This contrasts starkly to Amazon's Fire Phone, with that device's usage growth remaining steady but relatively flat over the same post-launch time period.'
However, the firm says the slow start to sales could be due to amazon's decsision to only sell the handset through AT&T.
amazon's Fire was outsold by LG's G3
'The somewhat mild adoption of the Fire Phone may be seen as an expected consequence given the smartphone's carrier exclusivity,' it said.
'While Amazon certainly is looking to make the Fire Phone a hit, current conditions show this being more realistic as a long-term goal rather than a short term one,' the firm said.
Jeff Bezos himself said the company plans to 'be patient,' and other industry watchers see the Fire Phone as being a long-term play for Amazon.
'Discounting or expanding the availability of the device would likely help boost adoption, but it may be more likely that Amazon refocuses its efforts for a second generation of the Fire Phone and the accompanying software in order to make a larger mark on the industry..
The Fire handset was unveiled by Jeff Bezos at a special event in Seattle.
'It's time to whip the crown from Apple,' said Mr Bezos before showing off the new handset for the first time.
The Fire also performed poorly compared to the Mitorola Droid ultra
The Fire will use head-tracking technology to make images on the smartphone's display appear to be 3D with a feature called 'dynamic perspective'.
'There is always more to see by changing your perspective,' Bezos said.
'What if there were a thousand artists standing by to redraw the picture every time you moved your head?'
Apps using the new feature includes a Maps app that lets users see around buildings.
Users can also tilt the phone to 'look around' an on screen map.
The handset has a 4.7-inch display with 720p HD resolution, a quad-core Qualcomm Snapdragon processor, 2GB of RAM, and six individual camera modules to make the 3D effect work.
It will run a highly customized version of Google's Android operating system similar to the one seen on Amazon's Kindle Fire tablets, and come with special tangle-free headphones.
Apps available at launch include Netflix, HBO Go, Hulu Plus and ESPN.
It also boasts a Gorilla Glass 3 screen with a rubber frame, and aluminum buttons.
Users will also have unlimited photo storage via the Amazon Cloud, and syncing with the company's recently launched Fire TV set-top box so you can send media to your TV.
The phone has its own menu system, and users can even navigate by tilting the handset. They can also see different app catergies through a special 'tray' that appears when they swip (right)
'Fire Phone puts everything you love about Amazon in the palm of your hand—instant access to Amazon's vast content ecosystem and exclusive features like the Mayday button, ASAP, Second Screen, X-Ray, free unlimited photo storage, and more,' said Bezos.
'The Firefly button lets you identify printed web and email addresses, phone numbers, QR and bar codes, artwork, and over 100 million items, including songs, movies, TV shows, and products—and take action in seconds.'
how they compare: The new fire is up against Apple's iPhone 5s and Samsung's Galaxy S5
The MayDay 24-hour video help feature will also be available on Fire Phone, Amazon confirmed.
Bezos said the most important thing the firm has done was to 'earn trust with customers'.
The handset will initially be offered in the US only by AT&T in a deal that echoes the launch of the original iPhone.
The deal has already riled AT&T's competitors,
Seattle based T-Mobile's chief executive, John Legere, tweeted, 'Really, @Amazon? What happened to home-town pride?'
A SHOPAHOLICS BEST FRIEND - AMAZON'S NEW FIREFLY APP
Amazon also announced that the Fire Phone will come with a new app called Firefly.
This uses the camera and visual recognition to identify objects ranging from books to CDs as well as listen to music before looking for it on Amazon.
The feature will also recognise phone numbers and web addresses, as well as TV shows.
Amazon claims it can recognise 100 million items in less than one second.
Once an item is recognised, it can automatically take users to the corresponding Amazon page so they can buy it.
The app is triggered by holding the same button that serves as a shortcut to the Fire Phone's camera.
Peter Woodd, CEO at phone accessory maker IDT Systems said 'The effect this will have on the Smartphone industry are substantial.
'Consumers are constantly looking for the newest and most innovative device and if Amazon's Smartphone offers the suggested 3D viewing capabilities, the usual players may find their hold decreasing.'
It is the first time the retailer has created a phone, and follows on from the success of the Kindle eReader and Kindle Fire tablet, with sales of eBooks overtaking those of physical copies in the UK in 2012.
Although Amazon did not confirm a release date for the UK, experts predict it will be on sale this year outside the US.
AMAZON'S SMARTPHONE: WHAT THE EXPERTS SAY
Ernest Doku, mobiles expert at uSwitch.com said: 'Amazon already has two very effective power-ups in its armoury: brand power and reams of content that smartphone users can soup up their mobiles with. Add those to a quality handset and the mobile market may well have a Trojan Horse on its hands.'
Duncan Bell, operations editor at UK-based gadget magazine T3 said: 'The Amazon phone's solid hardware and verging-on-pointless software features are irrelevant here. Amazon sees this as a platform to flog its content, just as it did with ebooks on Kindles. Problem is, all its video and audio content is or will be available on every other device known to humanity, leaving no compelling reason to buy its own phone.'
Ramzi Yakob, industry expert and strategist at digital agency TH-NK said: 'Alarm bells started ringing when I realised that Jeff Bezos had spent more than twice the amount of time explaining how Dynamic Perspective was developed than actually showing us what it can do to improve the user experience. It clearly isn't a game changer.'
Ernest Doku, mobiles expert at uSwitch.com, said: 'Arriving so late to the over-crowded smartphone party requires tactical consideration, and Amazon has covered all bases with a handset which is both big on spectacle and packed with features.
'Amazon already has two very effective power-ups in its armoury: brand power and reams of content that smartphone users can soup up their mobiles with.
'Add those to a quality handset and the mobile market may well have an Trojan Horse on its hands.
'Amazon's killer blow lies in its deep connection to the Prime subscription service. The Fire Phone is rather a gateway into its millions of books, movies and music on-demand, making the device key to a very appealing package.
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