However, In-Stat has found in a survey of Indians who are likely to purchase a low-cost handset that urban residents of major Indian cities show a strong preference for cellphones with features. Fully one-third of the respondents to this survey say that they would not even consider a basic handset equipped with only voice and SMS capability.

The ultra low-cost handset may, indeed, be the way to bring the next billion users to cellular, but lower-cost and refurbished cellphones should be considered as an important way to expand cellphone usage in developing countries, especially those countries where users have already experienced cellphone ownership and enjoyed the benefits of advanced features.

Companies developing or marketing cellphones in India will need the in-depth insights about Indian consumers who expect to pay less than US$75 for a cellphone. This research provides analysis and survey data taken from over 1,000 respondents that includes income, demographics, preferred handset brands, and features and interest in purchasing ultra low-cost handsets.