WSJ says AT&T will be exclusive carrier for rumored Amazon 3D smartphone

For more than a year now, it has been rumored that Amazon was in the midst of developing a high-end, 3D smartphone that does not require the user to wear glasses. Sources close to the situation told the Wall Street Journal last summer that the mobile device would have retina-tracking technology, a 4.7-inch screen with 720p HD resolution and images would appear to float above the screen and appear three-dimensional.

If the rumors and speculation are correct then this is considered to be a groundbreaking product that could be named “Amazon Prime Phone,” a member of the Kindle Fire gadgets or simply an Amazon Phone.

The same business news outlet is now reporting that Amazon will be debuting its new smartphone Wednesday at an event in its hometown of Seattle. It is also being reported that AT&T will be the exclusive carrier for the rumored mobile handset device – similar to the scenario in 2007 when AT&T was the exclusive carrier of the Apple iPhone.

AT&TAT&T would be hoping to garner new subscribers as it faces intense competition in the wireless carrier market. Also, Amazon could immediately make an impact in the smartphone market and become an important player as Apple and Samsung have controlled a near combined two-thirds, while BlackBerry and Nokia have dwindled in recent years.

It has been projected that the rumored smartphone could add as much as $3 billion to Amazon’s revenues and $500 million to its Prime subscription revenues. It is estimated by Mashable that the phone will cost between $99 and $199 and would begin shipping the phones by the end of September, early October, which is just ahead of the holiday season.

“One thing seems clear — Amazon does not appear poised to suddenly change its strategy of gaining market share by selling products and services at a price that’s lower than the competition. This means that very little of the additional revenue that might flow from its smartphone will enhance Amazon’s net income,” wrote Peter Cohan of Forbes. “But Amazon is probably looking at its smartphone as a way to protect its existing customer base as much as it is seeking to gain new customers.”

However, some have speculated that Amazon won’t be debuting a phone after all Wednesday – time will tell. For a hint of what might be debuting, check out the video below:

Over the past several months, Amazon has become eclectic in its list of goods and services: drone technology delivery, grocery delivery through its Prime subscription, Fire TV set-top video streaming and a soon-to-be audio-only streaming device. Amazon is even going above and beyond in customer service as its Kindle Fire tablet has a Mayday function that features a live customer service representative appearing on the user’s screen.