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.
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.