Competition is helping to drive down the average cost of Android smartphones at a far more aggressive rate than industry observers had previously forecast.
Chinese manufacturer Huawei is leading the price war, with deliberate strategies aimed at selling low-cost mobiles with the Android platform installed via network providers.
The T-Mobile Pulse Mini is set to undercut its predecessor, the Pulse by over £80 when it launches in the UK.
The 54 per cent price difference will certainly attract a mainstream audience to Android and could make it far more attractive to consumers than rival operating systems.
Sources within the Taiwanese mobile manufacturing industry have reacted to the figures by saying that they will not be looking to compete by producing entry-level Android mobiles.
This implies that HTC and its rivals will be focusing on the mid to high end of the market for the foreseeable future, leaving Huawei unchallenged at the lower end and in an excellent position to take advantage of its positioning.
If Android is continually championed as an affordable smartphone platform, it could easily overtake the iPhone OS as the world's most popular.
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