AT&T May Drop the Facebook Phone: Ahead of the Ticker

NEW YORK ( TheStreet) -- AT&T ( T) is reportedly ready to drop Facebook ( FB) Home after consumers proved to be less than impressed.

Just a month after launching the HTC First, the first smartphone to feature the Facebook Home operating system, at $99, AT&T dropped the price to just 99 cents

Now, reports said AT&T is getting ready to discontinue the so-called "Facebook phone" altogether. While AT&T released a statement saying it "made no decisions on future plans," tech blog BGR cited a source at AT&T that revealed "sales of the HTC First have been shockingly bad." According to BGR, its sources said less than 15,000 units had been sold by the end of its first month.

BGR said the price cut is an attempt to shed as much inventory as possible, and once HTC's in-store display contract with AT&T expires the phone will be discontinued and surplus inventory will be returned to HTC.

Launched in the beginning of April alongside the stand-alone Facebook Home app, which is available for free download, the HTC First features Facebook on the phone's home screen. It uses Android Jelly Bean, has a 4.3-inch 720p display and a 5-megapixel camera.


Amazon ( AMZN) introduced Amazon Coins, a digital currency for Kindle Fire owners that can be used to purchase apps and games.

The company hopes Coins will be easier to use and will spark more paid downloads from the Amazon Appstore.

"It's another opportunity to drive traffic, downloads and increased monetization," Amazon said in a developers blog post. The company said Appstore developers will continue to earn 70% revenue share when customers make in-app purchases.

The company on Monday gave Kindle Fire owners $5 worth of Coins to spend on new apps or games or to purchase in-app items.

Amazon said there are no fees attached to Coins and they never expire. Five hundred Coins cost $5; 1,000 cost $10 and 10,000 cost $100, but the company said there are discounts on them of up to 10% if users buy them in bulk.

Coins cannot be used on books or movies at this time, although the company said it plans to add more ways to earn and spend them in the future.


Nvidia ( NVDA) announced it is taking pre-orders for its Project Shield portable gaming system.

The system, now dubbed SHIELD, is an Android handheld able to access games from a variety of sources. It features a game controller with a 5-inch, 720p retinal multi-touch display and runs on Android 4.2.1. Jelly Bean.

"SHIELD is the one device that taps into the planet's largest ecosystem of games--spanning Nvidia TegraZone, Google ( GOOG) Play, and Steam. Rediscover your Android games with the mobility, control, and performance of SHIELD. Connect to your Google Play account to enjoy your favorite movies, music and apps."

SHIELD is priced at $349 and will be carried at retailers including GameStop ( GME), Newegg, Micro Center, and Canada Computers. The initial pre-order period is available only to those who have signed up on the SHIELD website, but it will open up to the general public on May 20. The handheld will ship in June.

In the future, Nvidia said it hopes to be able to stream PC games to SHIELD as well.


The chatter on Main Street (a.k.a. Google, Yahoo! and other search sites) is always of interest to investors on Wall Street. Thus, each day, TheStreet compiles the stories that are trending on the Web, and highlights the news that could make stocks move.

-- Written by Brittany Umar.
Brittany joined TheStreet.com TV in November 2006 after completing a degree in Journalism and Media Studies at Rutgers College. Previously, Brittany interned at the local ABC affiliate in New York City WABC-TV 7 where she helped research and produce On Your Side, a popular consumer advocacy segment.

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