Amazon Introduces Its Own, Specialized Smartphone

By Ian Bush

PHILADELPHIA (CBS) -- Amazon has taken the wraps off its own smartphone: the "Fire Phone" has a premium price but also some extras to set it apart from the iPhone and other Android devices, such as free photo storage in the cloud.

"Can we build a better phone for Amazon Prime members?" asked Amazon boss Jeff Bezos rhetorically, saying the answer is yes.

But the key to the Fire Phone is that Prime subscription service.

"Ultimately, it's about getting people to buy more things on Amazon,"  says CNET's Roger Cheng.  An app called Firefly will help you add things to your virtual shoppig cart.

"Take a photo of any image, and it'll immediately get you a link to that product as well as a way to buy that product on the Amazon site," Cheng explains.

Fire Phone snaps shots in 13-megapixel resolution, and several other lens built into the phone push the 4.7" display to sort-of 3D.  Amazon calls it "Dynamic Perspective," allowing you to scroll through a web page or e-book or look around the corner on a map without touching the screen.

"It's about $200 [32 GB] on contract; $300 if you want to get more memory [64 GB]," Cheng tells KYW Newsradio.

And for now, it's exclusive to AT&T.

Early adopters will get a year of Prime for free; after that, it's $100 per year.

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