Cheap Android phones to storm emerging markets

80 per cent of African, Indian, and Chinese smartphone users will have one.

New NPD In-Stat research says the low-cost Android smartphone segment is comprised primarily of Android 2.2 or 2.3 devices, using EDGE and housing processors running at 600MHz or lower.

Devices cost $150 or less, with early competitors in the market including Huawei, MicroMax, Motorola, Samsung, Spice, and ZTE.

It reckons a single-core EDGE chip sells for under $10, although some manufacturers will purchase from the grey market where they don't pay licensing fees, royalties, or taxes for the products they produce.

NPD believes unit shipments for low-cost Android smartphones will approach 340 million worldwide in 2015. We can assume the 80 per cent figure for emerging markets refers only to the smartphone sector, rather than all mobile devices.

Allen Nogee, research director at NPD In-Stat, reckons there will be some competition despite the momentum of Android. he said: “Samsung has bada, and Nokia is developing Meltemi. In addition, Microsoft has stated that it wants to sell Windows Phone in these developing regions as well and could aggressively lower prices to gain market share.