VG24/7 claims that Amazon is prepping a game console for launch this year and that the system will retail for less than $300.
The site's sources say that Android powered device will offer streaming and download services for games, movies, and TV shows. Amazon intends the console to compete directly with Sony, Nintendo, and Microsoft.
Senior publishers and U.S. based game developers have reportedly met with Amazon and popular Android and iOS games have been demonstrated running on the device, which is said to have multiple codenames.
The device is described as being the same size as the PlayStation One redesign and is currently grey in colour but will likely be overhauled before release.
Lab27, which designed the Kindle e-reader, helped to create the system. VG24/7 reports that the system was due to launch last year but the release was delayed, this would tie-in with GameInformer's report from last August that the system would be released before Black Friday.
Amazon also intends the console to compete with Android based systems such as Ouya and GameStick.
