It looks like everyone is working on a mobile device these days. Amazon, apart from their Kindle, is rumored to be working on a device to grab a slice of the smartphone pie, which is now dominated by iPhone and Android smartphones.

The company is said to be working with Foxconn, which has come under intense scrutiny in the past year for working conditions in the Asian factories where Apple manufactures its Apple gadgets.

Bloomberg‘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. These days, patent lawsuits are so popular, with the most recent from Apple having success in getting a U.S. District Court judge to grant a preliminary injunction blocking the sales of Samsung's Galaxy Nexus.

Amazon is no stranger to hardware. Their very popular Kindle Fire has emerged as the lower cost alternative to the iPad among consumers, and as Amazon smartphone could go, it could have potential mobile success. A smartphone device would make sense, to continue and widen its distribution of digital media including books, movies and music.

What do you think about all of this? Is it wise for Amazon to get into the smartphone market? Or is it a waste of time and resources for the company and they should focus more on tablets and digital media being their main business. Sound off in the comments.