Chip makers drive race to $20 cellphones by 2007

Prices have been dropping pretty fast on handsets, but some of the new feature filled phones are debuting at prices close to used cars. Well around 2007 you might be able to pick up a basic phone for around $20 thanks to the decreasing costs of the chips used to build the phones.

The article goes on to saw how mobile phones could even be produced for as cheap as $10, but the major phone vendors would be reluctant to do so because they would have to use cheaper parts and lower quality would hurt their brand.

Though if done right, consumers will get high quality, just with less features. This sounds like exactly the phone I am looking for. I just want a cell phone with good quality audio and really good reception. I don’t need a contact list, with text messaging, and custom ring tones. I just need a regular cell phone.

Reuters with the story.

December 7th, 2005 Posted by David in News at 4:22 pm Comment Now! »
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