Datawind promises Rs2,000-Android phone with free internet by Diwali

DataWind, the maker of Aakash tablet computer and a provider of low-cost internet connectivity for emerging markets, is planning to launch a Rs2,000 -Android handset in India during this festive season.

The low-cost Datawind handsets with free lifetime internet will run on Android and fit into a 3.5-inch form factor (mother board) and the company plans to launch it before this Diwali.

Although the idea doesn't sound commercially viable, Datawind is reported to have convinced at least three telecom brands on the feasibility of its project. For the present, however, Datawind's executive vice president Rupinder Singh is keeping details under wraps.

Datawind already offers three low-cost phones in India and claims to be shipping between 40,000 and 50,000 of its products across the country each month.

Meanwhile, the Akash tablet device, which has the government's backing in India, is reported to lack customer acceptability allegedly because it lacks quality and features that the costly tablets offer.

In fact, at a recent press meet, communications and IT minister Ravi Shankar Prasad had opined that the Akash tablet needed refinements to be widely accepted.

If the Rs2,000-Android handset that bundles free data for life works out as planned, Datawind will play a major role in Narendera Modi government's Digital India initiative for connecting all parts of the country to mobile telephony and data networks.

Datawind and BSNL had in July announced plans to sell the UbiSlate tablets with 12 months of free unlimited internet browsing. This agreement applies to its UbiSlate 7CZ and 3G7 Android tablets, both of which are priced around Rs6,000.

Datawind sees its association with state-owned BSNL as a 'major breakthrough' in validating its technology and belief in low-cost internet connectivity. The company will be looking closely at sales in rural areas in the months to follow to increase its market share.