Advertisement

We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

Sundar Pichai, senior vice president of Android, Chrome and Apps, speaks about the Android One phone during the Google I/O 2014 keynote presentation back in June. AP Photo/Jeff Chiu

Google places its bets on India as it prepares Android One launch

The company is expected to announce its budget smartphone platform for the Indian market on 16 September.

YESTERDAY, GOOGLE STARTED sending out press invites to the launch event in India for Android One, its new super-cheap smartphone.

Google is hoping to deliver a solid smartphone experience for less than $100 (€76).

Google’s strategy is to work with smartphone developers in emerging markets and to provide them with up-to-date versions of its free Android software so they can make great phones and low prices. It’s the polar opposite strategy of Apple, which is gearing up the release of the iPhone 6, which is likely to cost $700 (€530).

The market for cheap smartphones is burgeoning. In the West, smartphones are ubiquitous, but in the developing world, most people don’t have them.

It is not just Google moving in on the emerging market for budget smartphones. Mozilla is launching a $33 (€25) phone in IndiaMicrosoft has pushed down the price of its Windows phone. Xiaomi and Motorola have been launching smartphones in India too, including the Redmi 1S and Moto E costing Rs 6,999 (€87) and Rs 5,999 (€75) respectively. 

9to5Google noted that Google has already partnered with manufacturers Karbonn, Micromax and Spice for the first Android One devices. Karbonn are the manufacturers who made the A50S, the smartphone priced at only $43 (€32).

The bet here seems to be that in the future, it will feel weird to pay large sums of money for a phone. Generally, the history of computing shows that prices drop over time even as devices become ever more powerful.

Eventually, Google and its Android manufacturers seem to be hoping, people will face a choice: €530 for an iPhone or €76 for an Android that does the same thing.

screen shot 2014-09-02 at 11.19.02 am Spain is notoriously dominated by Android. Business Insider Business Insider

Some people think that Android phones only compete with other Android phones, and that Apple functions like a separate market. In that scenario, Apple is happy to exist as a minority brand as long as the minority it serves remains highly lucrative.

Right now, that strategy is working for Android, too. Apple remains strong in the US where a huge chunk of the market buys iPhones. But in Europe, Android is taking over. In the top 5 European countries, Apple’s share is only 7-11% of the market.

Of course, Apple’s iPhone 6 is likely to be a huge seller – so after 9 September, expect these numbers to change drastically.

Jack Dutton

Read: NASA is creating its own air traffic control system for drones >

Read: This Google Glass app uses facial expressions to tell how you’re feeling >

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Published with permission from
View 6 comments
Close
6 Comments
    Install the app to use these features.
    Mute RP McMurphy
    Favourite RP McMurphy
    Report
    Sep 2nd 2014, 1:26 PM

    Good move. Lots of Indian middle class(500m) just can’t wait to spend money on phones, branded gear, electronics. And the entry price points are realistic. And then there’s the 200m+ very wealthy and Bollywood stars who egg on those middle class to get the next ‘bestest’ thing. Of course there’s the 500m on < a dollar a day too who don't give a crap about any of it!

    21
    Install the app to use these features.
    Mute The Animal
    Favourite The Animal
    Report
    Sep 2nd 2014, 2:03 PM

    Don’t care…… I want an iPhone…. If I’ve to sell my heart and lungs to buy one so be it…. But I don’t want a black one….. Oh God no….It must be white….Ooooh almost forgot…. Lemme take a selfie…!

    20
    Install the app to use these features.
    Mute ididntneedtoknowthat
    Favourite ididntneedtoknowthat
    Report
    Sep 2nd 2014, 1:29 PM

    NSA in your pocket at a bargain price ….

    7
    Install the app to use these features.
    Mute phil
    Favourite phil
    Report
    Sep 2nd 2014, 2:04 PM

    Shit the NSA are onto you. You better put on your tinfoil hat and run

    15
    Install the app to use these features.
    Mute Stefan Epure
    Favourite Stefan Epure
    Report
    Sep 2nd 2014, 1:37 PM

    Pizza Time

    5
    Install the app to use these features.
    Mute robert ludden
    Favourite robert ludden
    Report
    Sep 2nd 2014, 9:59 PM

    €530 for an iPhone or €70 for an android that does the same thing? Slightly stupid reasoning. If you mean talking and texting then yeah

    1
Submit a report
Please help us understand how this comment violates our community guidelines.
Thank you for the feedback
Your feedback has been sent to our team for review.
JournalTv
News in 60 seconds