Android phones are not a commodity. That a lot of the Android phone models are cheap, goes to show that there is a really big market for phones that sell for a few bucks on a 2-year old contract.
However take for instance the Galaxy S phones. Galaxy S III sells for €569 without a contract in my country, and with a subsidised price of €219 for a €37/month contract.
That's not cheap, and it isn't a commodity. Down here Galaxy S devices have always been at about the same price as iPhone models. And people still buy them like crazy, even if the average monthly salary is less than €1000 per month.
The market is big and only growing. There is enough room for everybody, low-end or high-end.
It's a little ironic you say that though, because that is how Nokia grew, by commoditizing phones. They basically created the feature-phone market.
However take for instance the Galaxy S phones. Galaxy S III sells for €569 without a contract in my country, and with a subsidised price of €219 for a €37/month contract.
That's not cheap, and it isn't a commodity. Down here Galaxy S devices have always been at about the same price as iPhone models. And people still buy them like crazy, even if the average monthly salary is less than €1000 per month.
The market is big and only growing. There is enough room for everybody, low-end or high-end.
It's a little ironic you say that though, because that is how Nokia grew, by commoditizing phones. They basically created the feature-phone market.