LG Optimus and the Rise of the Cheap Androids!

At a time where high-end smartphones costing $ 200 attract much attention, is there room for a $ 30 device running the latest version of Android? T-Mobile must think so because that’s exactly what it offers in the LG Optimus T handset. The phone is all plastic, uses a low-resolution display, a slower processor and omits a few functions. But for folks craving a smartphone experience without wanting to invest much up-front cash, the Optimus T includes some advanced features and provides a reasonably good experience for its price.

The $ 30 pricetag of the Optimus T is less than 20 percent of what a typical top-tier smartphone costs these days, but the handset offers about 80 percent of the same features, with a few notable compromises. Web browsing without zooming can be difficult due to the low resolution display. (Note: in the video I indvertantly stated the resolution at 320×240; the correct resolution is 320×480.) Opening or switching apps isn’t instant because of the limited processor. Camera images and videos aren’t of superb quality: don’t expect high-definition videos at this price.

But this $ 30 handset does just about everything that my more expensive phone can do. You can install mobile apps from the Android Market (yay Angry Birds!), share pics on Facebook (taken with a decent, but not high-end camera), browse the web over 3G or Wi-Fi, manage email on the go, check-in on Foursquare, use Google’s Navigation and use Google Voice services. The Optimus T even works as a mobile hotspot to connect other devices to web for $ 15 a month in addition to the $ 30 data plan, thanks to new T-Mobile pricing announced today.

The phone uses the latest version of Android, which helps boost performance. Plus, the 1500 mAh battery paired with a slower processor makes for an all-day device. At this price-point, the Optimus T will attract many first-time smartphone owners, particularly those wanting to experience smartphone apps.

But this isn’t likely a one-off, cheap Android smartphone. I expect many more subsidized Android phones available for under $ 50 in the coming year as hardware makers find ways to marry lower priced components with Android for a “slightly watered down, but great value” type of experience. This phenomenon has already started in countries such as India, where local handset makers are planning to offer Android smartphones for $ 150 and then further look to drop into the sub-$ 100 range.

That’s a potential issue for companies that have traditionally owned the feature phone market in countries around the globe. Google’s Android platform is making the move down into lower priced devices and if it can offer the smartphone experience at a feature phone price, its rising dominance as a platform will simply accelerate even faster.

So are these low-end, inexpensive smartphones geared for a power user like myself? No, but I could easily use one in a pinch, provided I was willing to sacrifice a few features and some performance. For the multitude of current feature phones owner around the globe, however, the Optimus T and coming phones like it, will enable the mobile broadband revolution for the cost a basic handset and a data plan.

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Related content from GigaOM Pro (sub req’d):

  • To Win In the Mobile Market, Focus On Consumers
  • Feature Phones: the Next Market for Mobile Apps
  • Google’s Mobile Strategy: Understanding the Nexus One


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