Before we get too far into this, let's point out that this rumor is coming from an Israeli newspaper, so it is easy enough for a company to disavow stories like these. With that disclaimer out of the way: Amazon may be looking into buying Texas Instrument's OMAP business. As we already know, TI has expressed interest in getting out of the mobile game. Not to say they'll stop making processors, but that the focus would be less on tablets and phones, and more on embedded SoCs for a variety of applications (such as automotive, vision, and robotics).
Google usually releases a new Nexus phone in Q4, and we're already firmly into Q3 - which means the rumors should start heating up any day now. In fact, given just how little we've heard on the subject (presumably because everyone is too busy gushing over the Nexus 7), we should probably (hopefully) be hearing something any day now.