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Amazon Android console will cost less than $300, report claims

New Ouya-style microconsole system rumoured for release this year

Work on Amazon's Android console is said to still be underway, with the company planning to release it later this year at a price of less than $300.

Amazon chief executive, Jeff Bezos, has refocused the retailer's efforts on the Kindle reader and tablet devices

According to a VG247 report, the console is still in development and claims it will be released later this year.

According to the site's sources, the Amazon console will compete directly with Microsoft, Sony and Nintendo's consoles and will offer the streaming and download of games, music, movies and TV content.

It is also claimed that the hardware, allegedly being created in conjunction with Kindle designer Lab 126, is currently being shown to a number of senior publishing sources with Android and iOS software shown running on it.

Rumours of Amazon's console initially surfaced last year, with claims the console was expected to carry its own controller and be released by the end of November 2013.

If these new reports are true, the console would leverage four of Amazon's key assets - its network of sales and distribution channels across the west, its famous online store, its Android apps ecosystem and, possibly, ties with its popular Kindle Fire eBook and app service.

The online retail empire already faces stern competition, in the shape of the Android-powered Ouya console which sold out at launch but may not have been so successful at stimulating software sales.

Meanwhile, peripherals firm Mad Catz is launched its own Android console, the Mojo, at the end of 2013.