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Plenty of manufacturers make phones already that can use the Kindle app, etc. How would an Amazon-branded phone help them?
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I agree with you. It does not make sense from a industry point of view. But you never know. And the same thing is true for a tablet (I'm no expert, but I think there is a Kindle app for the iPad), but the Kindle Fire is out :-)
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could see it happening, but I don't think it actually would. Their whole deal is content, not hardware. Apple is a combination of both. Google is...Google.
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Also agree with you :-)