Amazon working on new smartphone with Alexa at its core, report says

Amazon is reportedly developing a new smartphone codenamed 'Transformer,' more than a decade after the failed Fire Phone. The device is being built by a new internal unit called ZeroOne, led by former Microsoft executive J Allard. It will center on Alexa, now upgraded with generative AI as Alexa+, and will integrate Amazon's suite of apps including Shopping, Prime Video, and Prime Music. The move aligns with Amazon's broader AI push, which includes a $50 billion investment in OpenAI and $200 billion in projected AI-related capital expenditures for 2026.