Taiwanese manufacturer MediaTek has announced its commitment to Google's Android operating system by developing entry level chipsets for smartphones based on the platform.
The chipsets will be ready for launch in the next few months and this move will be seen as significant since MediaTek holds sway over the Chinese mobile market, causing many to predict an influx of budget Android smartphones.
MediaTek recently became a member of the Open Handset Alliance, which is essentially an international network of mobile firms working together to promote Android. Other significant members include HTC, Motorola, Samsung and Acer.
MediaTek will not be working exclusively on Android products, as it has already signed up to a partnership with Microsoft in order to create hardware for the Windows Phone 7 platform.
Observers are pointing out that both of these deals will squeeze market share from direct rivals such as Apple.
The iPhone is a popular mobile in China, but mostly in the form of low cost forgeries rather than the official premium product. It is predicted that the number of phony iPhones that will sell in 2010 will dwarf the number that Apple will actually ship.
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