Google’s Android One program is a great strategy by Google to regain control over the Android platform and overcome the AOSP fragmentation problem as well as push the Google cloud services to the bottom of the pyramid. For OEM partners this is a way to get in bed with Google and raise their brand profile. For Consumers, it is to get a Nexus-like experience at highly affordable price points.
We estimate Google Android One based phones to reach roughly 2 million units this year and roughly 16 million units next year as the program expands to other markets.
The first choice of India is superb as there are a significant number of mobile users in India, shifting from feature phones to smartphones. Also there are multiple local OEMs striving to standout in a super competitive market.
However the price points suggested by the Android One program is not ideal as the market is shifting towards lower price points every quarter and the current versions might not be enough to fight off AOSP products at lower prices.
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