Go cheap with minimal functions may be the trend

The revolutionary iPhone costs about $500. If everybody thinks, all manufacturers will go that way and produce simular Multifunction phones with rich user experience, you might be wrong. Many manufacturers are trying to enter to in to new markets as a strategy instead of competing in developed markets by focussing on producing cheaper and ultra low function devices.

More than a dozen handset vendors will be shipping sub-$50 models by 2008. The ultra low cost handset marketplace is currently dominated by Motorola and Nokia, but Samsung, LG, and Sony Ericsson are showing increasing interest and other smaller vendors including ZTE, Kyocera, Huawei, Haier, Sagem, Ningbo Bird, Philips, and Rose Telecom are also beginning [...]

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