Amazon has already shown its mettle in the tablet category with its Kindle Fire tablets, and now the online retailer-turned-hardware manufacturer is once again ready to get give tough competition to some of the tech companies.

According to new rumors doing rounds in the smartphone market, Amazon is going to come up with a 4.7-inch smartphone somewhere in the second quarter this year.

Amazon actually wanted to go with a 4.3-inch display for its upcoming smartphone but keeping the big display smartphones in the market and some supply related points in the mind, the company chose to stay with a 4.7-inch display.

"The company was previously considering a 4.3-inch screen but later scrapped the idea after witnessing increased demand for larger size screens among consumers," Digi Times quotes its source.

Amazon is rumored to be partnered with Foxconn for the production of the smartphone and some reports about the product suggest that the Q2 launch of the device will be postponed.

The rumors suggest that the launch date will be pushed somewhere towards the end of the year because of some supply issues with Foxconn.

People, who experienced Amazon's earlier products like Kindle Fire and Kindle Fire HD, will definitely be looking forward for a smartphone from Amazon as many of them think that the price of the device will not be very high like other high-end smartphones in the market.

The price range of the Amazon smartphone can be kept in between $100 and $200. The price range also depends on Amazon's real intensions behind the smartphone.

If Amazon is going to bring out the smartphone just to boost the sales of its online products like e-books and other thing available on Amazon's website, then the price range given above suits the plans. But, if Amazon's plans are to establish itself as full-time and committed smartphone brand then everything depends on the components the smartphone is going to carry.

Nothing has been said officially so far, but predictions indicate towards an AMOLED display and a quad-core processor.

As the second quarter of this year is going to start in just some days, release of the smartphone doesn't seem to be coming somewhere in next three months. If the supply issues are really affecting Amazon's new product, the company would be very happy to release its new product during Christmas session when its website is flooded with orders.