Here's the company's guide on how the service works:
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TextBuyIt enhances Amazon's current mobile solutions, two mobile sites, one of which is for iPhone users. While Amazon's executives claim to target the new service at impulse shopping, such as the guy leaving a concert and deciding to buy the band's CD before getting home, the blogosphere frames the service as another way to compare prices next time you are in Borders or CircuitCity.
Source: FoxBusiness, Techcrunch
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