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    Amazon Building an iPhone Competitor [REPORT]

    As competition in the fast-growing mobile web space continues to heat up, Amazon is working on a device to grab a slice of the pie currently dominated by the and smartphones, according to a Bloomberg report.

    Interestingly, the hardware, cloud computing and e-commerce juggernaut is said to be working with -- which has come under intense scrutiny in the past year for working conditions in the Asian factories where it manufactures Apple gadgets -- to create the Amazon iPhone competitor.

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    's report is based on "two people with knowledge of the matter."

    Amazon is also reportedly seeking to acquire a wide range of smartphone-related patents to guard against infringement accusations. That's likely motivated in large part by Apple's recent success in getting a U.S. District Court judge to grant a preliminary injunction of Samsung's Galaxy Nexus -- currently the only smartphone capable of running the Android operating system's most recent version.

    [More from Mashable: ]

    Amazon's tablet has emerged as a very popular lower cost alternative to the iPad among consumers, so an Amazon smartphone does have some precedent for potential mobile success. A decent Amazon smartphone would also help it continue to reap profits through selling digital media including books, movies and music.

    The future of the web is widely accepted to revolve around mobile access -- and competition among tech companies is becoming increasingly fierce as hardware and software manufacturers jockey for position and profits in the next generation of consumers' online lives. Last month, for example, and Google announced tablet offerings meant to take on the iPad as smaller, more portable alternatives. In response, Apple is now said to be planning an " " for release in time for this year's holiday season.

    Do you think Amazon would be wise to get into the smartphone market -- or is that waste of time and resources for Jeff Bezos and company? Share your opinion in the comments.

    Image courtesy of ,

    This story originally published on Mashable .

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