Prices Going Down Down Down
Here is a Washington Post story about the GSMA awarding a contract to LG electronics to make low cost Third Generation (3G) GSM mobile phones.
The handset will cost around $100, breaking through an important price barrier which is expected to boost sales of 3G phones. Most 3G phones are currently much more expensive and slow sales of the devices has held back usage of 3G network services, such as mobile Internet, email and video.
These phones are actually very feature-filled and are not the expected dumb phones. Previously, the GSMA awarded a contract to Motorola to make develop a $30 per Second Generation (2G) GSM mobile phone. But, that phone only had call and SMS functionality. At some point, this $100 level will definitely go down after sometime. Now, we have a $100 phone and a $100 laptop. Which one would the kiddies rather have?
