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Fox Business
Fox Business
2 Jun 2023


Amazon is mulling the possibility of offering free or low-cost mobile services to Prime members, according to a new report.

Amazon logo, man holding cell phone

The Amazon shop logo is seen in this photo illustration on May 31, 2023, in Warsaw, Poland.  (Photo by Jaap Arriens/NurPhoto via Getty Images / Getty Images)

Citing people familiar, Bloomberg News reported the online retail behemoth has been in talks for several weeks with Verizon, T-Mobile, Dish Network and AT&T to negotiate a deal using an existing network to provide the service as part of Prime subscriptions.

Shares of Verizon, T-Mobile and AT&T all fell in midday trading, while Dish – which Bloomberg reported "has the most to gain from a deal with Amazon" – saw a 20% boost.

TickerSecurityLastChangeChange % VZVERIZON COMMUNICATIONS INC.34.57-1.15-3.22%TMUST-MOBILE US INC.129.66-9.25-6.66%TAT&T INC.15.12-0.69-4.39%DISHDISH NETWORK CORP.7.38+1.09+17.44%

A source told the outlet a potential deal would still take several months to get off the ground and could be scrapped entirely.

An Amazon spokesperson told FOX Business in a statement, "We are always exploring adding even more benefits for Prime members, but don’t have plans to add wireless at this time."

The logo of the U.S. online retail giant Amazon on a New York distribution center

Buzz is growing that Amazon is negotiating with telecom companies to begin providing low-cost or free mobile services to Prime members. ((Photo by ANGELA WEISS/AFP via Getty Images) / Getty Images)

TickerSecurityLastChangeChange % AMZNAMAZON.COM INC.122.77+2.19+1.82%

The buzz over the possibility of Amazon offering cell services is not new. 

Last month, The Wall Street Journal reported the online retailer was working on a deal with Dish to sell phone plans through Amazon, which the outlet said "could give the telecom company's 5G rollout a lifeline."

In 2014, Amazon rolled out its own smartphone known as the Fire Phone, which operated on AT&T's network, but later abandoned it when sales failed to take off.