Ovum principal analyst Tony Cripps:
AUSTRALIA: “What is most interesting to contemplate is the effect Amazon's entry into this space will have on Google and its Android OS, the device software platform Amazon is initially targeting.
“The Amazon Appstore for Android is not yet big on apps – only some 3,500 will be available at launch – but it nonetheless looks ready to offer worthwhile competition to Google's own Android market, both for consumers and potentially Android OEMs. Amazon's buy-once-use-anywhere approach for Android devices is sure to find favour with users who have come to expect multi-screen access to their favourite applications and content via the Web.
“Personalized recommendations and other popular Amazon features, such as 1-Click payment options for Amazon account holders, will also help shake up the status quo, as will the new "test drive" facility.
“However, more critical in the longer term will be Amazon's ability to attract major brands and media organizations to its application store – something Google has to date been conspicuously less successful in doing than Apple. This could prove decisive not only to Amazon's success in this space but could also be the key to Android's ability to compete on equal terms with Apple in the minds of consumers.”