Apple Inc. (NASDAQ:AAPL)’s iPhone 6 has become the latest trend in the tech world, with fans searching for almost any reliable source from which they can buy the latest device. But no consumers are searching for an iPhone 6 or iPhone 6 Plus at Amazon.com. Why is that? It’s obviously because the website doesn’t offer Apple’s iPhone.
Why Amazon does not sell the iPhone
It is a bit unusual to see that users are not flocking to the world’s most popular online retailer. This demonstrates the strained relationship of the companies, as Apple has a deal with almost every top notch retailer, including Best Buy Co Inc (NYSE:BBY), Wal-Mart Stores, Inc. (NYSE:WMT), and Target Corporation (NYSE:TG), but Amazon remains off the list, says a report from CNET. Retailers such as Staples and Radio Shack, which have very sparse customers, are also getting a chance to sell iPhones.
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Amazon.com, Inc. (NASDAQ:AMZN) has its own line of hardware, and its relationship with Apple has never been smooth. The online retailer sells e-readers and tablets and recently hopped into the smartphone segment. The root of this cold war between these two tech giants goes back to 2007 when Apple launched the original iPhone, and Amazon announced that it was getting into the hardware business with the first Kindle e-reader.
The distance between the companies widened when Amazon decided to get into the hardware business and transform into a device company, says the report. On the heels of Apple’s iPad in 2010 came the Kindle Fire tablet from Amazon at a price $199–significantly less than the iPad priced at $499. But Amazon’s Kindle Fire could not trigger enough demand, and sales dwindled after rivals such as Samsung came up with the Galaxy Tab S.
Is Amazon a competitor for Apple?
CEO Tim Cook also made sure that Apple does not engage with Amazon. During a recent interview, Cook said, “Amazon — we don’t work with that much,” adding, “We have little relationship there.”
Even though both companies offer similar hardware, Cook said that he does not consider Amazon as competition. Cook said that Amazon sells and has launched a phone that is not very popular and cannot be seen at many places. The CEO added that unlike Apple, Amazon is not a product company.
However, NPD Group Analyst Stephen Baker said, “Apple views them as a competitor, with the Kindle products, and they would rather not support a competitor.”
Baker added that Apple does not want Amazon to earn a profit by selling the iPhone. Amazon does sell the Apple TV, streaming media box, MacBooks and iMac computers, which make the relationship between the companies a confusing one.