News reports are bursting with the revelation of a $20 Android smartphone coming from chipmaker ARM by this summer, and the development will open up the Internet to millions of consumers who have only had access to text messaging.
The industry implication, especially in emerging countries where cell phones are primary telecom communication devices, could prove thunderous in terms of Internet traffic, website shopping and data traffic on social networks that were once off limits to millions and millions of cellphone users in the U.S. and around the world.
The news also gives weight to recent industry reports that claim consumers already using smartphones want cheaper devices and don't want to shell out $200 to $400 for the latest and greatest from the likes of Apple, Samsung and Nokia.
According to one report ARM has claimed $20 is rock bottom in terms of devising an inexpensive smartphone offering. The report states ARM's smartphone device will feature single-core Cortex-A5 processor and 2.5G wireless data.
Another news outlet is dismissing the device, describing it as almost a throwaway, a new kind of 'burner' phone, noting most users don't want such low-level functionality.
Yet research reports in the past year have indicated that not only are cheaper devices wanted in the market, the consumer demand for mobile apps is growing exponentially and phones that offer cheap access to apps can't be bad for developers, telecoms and mobile device makers who are facing off in one of the most competitive tech markets to date.
