Amazon.com will rival Google's app store, Android Market, by opening its own app store for smartphones running the Android mobile operating system, the Wall Street Journal (WSJ) has reported.
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Amazon plans to take a 30% slice of app sales from developers. This is the same commission fee Apple and Google charge for their stores.
"New people will continue to introduce app stores-carrier telcos, device manufacturers, e-commerce sites," Gartner analyst Ray Valdez said. "But it will be like people having a fax machine - it is not a game changer, but just part of doing business," he added.
Shipments of Android-based phones saw an impressive 886% growth from HTC, Motorola, Samsung, Sony Ericsson and LG in the last year.
Google currently has 80,000 apps, second to Apple's app store with 250,000 apps.