According to Taiwan Economic News, Amazon is rumored to be working with Chinese manufacturer Foxconn to produce an Amazon smartphone.

The Amazon smartphone (if it is not a rumor after all) is expected to be released sometime next year, with a price tag of $100 to $200. Taiwan Economic News claims that up to 5 million devices will be produced.

With their track record of low prices and clever marketing, Amazon is likely to emerge as a strong competitor in the smartphone industry.

Amazon has been dipping into the mobile device industry since 2007, with the release of the original Kindle. Their most recent release, the Kindle Fire tablet, has been cited as the top gifted Christmas item for 2012 in a report by iTrustNews.com.

If an Amazon smartphone is released, will you be likely to give the device a try? Share your thoughts below!