In an interview with Technology Review, Morgan said that many manufacturers are getting upset with Google. Morgan has his own bone to pick with the Mountain View crowd after Google forced OEM's to use their own location technology instead of Skyhook's. The company does provide technology that uses Wi-Fi networks to better pinpoint a phone's location.
part of a new Android handset that replaces the Google Experience the same way that Amazon replaced Google's apps on the Kindle Fire. Users of the tablet can use the Amazon Appstore, buy content from Amazon along with cloud-based storage.
There is no definitive word as to who is funding the development of the phone, but if it breaks Android off in another direction entirely, it is not going to be considered good news over at Google HQ.
source: TechnologyReview, TheVerge via Phandroid