Year of the cheap smartphone?

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It is remarkable to think that it has been seven years since Steve Jobs got on stage in San Francisco and unveiled a product that was to upend our lives. Whether you use an iPhone or don’t, is not the issue, Apple’s effective creation of the smartphone segment changed the way a lot of humans interact with technology.

But the iPhone is an expensive product, and in markets like India where phones have not been subsidised as part of a package from operators. Even now with Reliance Mobile’s ‘affordable’ iPhone package, prices of current generations of the iPhone are still quite steep. This is where Google’s Android operating system has been filling the breach. Although there are Android devices from HTC, lG, Samsung and Sony that can match up to and beat the iPhone when it comes to pure specifications, the big advantage some Android devices have is that they are affordable without being technologically ancient.

Today, for around Rs 15,000 one can purchase a very good Android smartphone from a host of Indian brands. In a few months, the Google-owned Motorola is expected to introduce their Moto-G smartphone well under the Rs 10,000 mark, possibly below Rs 8,000 as models in the Us cost under $100 (Rs 6300). With the Moto G, expect prices of some other devices to also fall.

And the funny thing is that these devices are not what one would call low-end, yes their plastics quality leaves a bit to be desired, but this is not like buying a Tata Nano instead of a BMW. This is more like getting a decent small car with some luggage space as well. The processors are fast, faster than most phones back in 2012. The cameras are good and the screen sizes are a bit smaller than those on the bigger smartphones, but these devices fit in one’s pocket rather well.

With smartphones becoming cheaper yet remaining highly capable, this year might see the flip where a majority of people start carrying smartphones. While low-cost devices designed primarily for voice are available for under Rs 1000 might still rule in some low-cost markets, the immense capabilities of a smartphone, which doubles up as an entertainment device able to connect to the internet and allowing people to watch YouTube videos might win consumers over.

Think about it, less than five years ago, the cheapest non-smart handsets cost over Rs 3000, maybe just maybe by the end of this year the most basic smartphones will cost the same amount. Will this lead to a explosion of data trafficIJ That remains to be seen, with telecom spectrum policy still under discussion in India with entrenched operator lobbies arguing with deep-pocketed newcomers. The government, both the one in power and the future government have a golden opportunity here to empower the Indian citizen with data. Whether they want to do that is an open question though.

Daily Pioneer
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