A new mobile smartphone could be coming next year; it will be called the Amazon Kindle Phone and could possibly have the Android operating system. The Kindle Fire is not earning the company a lot of money because it was priced so low, but Amazon want customers to be on the ecosystem.

The Kindle Fire is not what you call the iPad killer, so what can the new Kindle Phone bring to the table? Well, you it will come with the word cheap again, the new smartphone hopefully being released in 2012 is expected to come with a price tag between $243 if Amazon wants to make a 30% gross margin, it will cost between $150 and $170 to manufacture according to AllThingsD.

Chang, Citi’s Taipei-based hardware research analyst, suggests that the new handset will launch 4Q12. There is a possibility that the new Kindle Phone could come with Texas Instrument’s OMAP 4 processor, and QCOM’s dual mode 6-series standalone baseband.

Please do let us know what you think about the Amazon Kindle Phone, do you think they will release it?