India telecoms are rolling out the $20 cell phone. Developed by Spice, its a no-nonsense, no frills phone aimed at the lowest end of the market . There is no screen. It's a phone that only makes phone calls! What a revolutionary concept! But with half the world without any phone service, there is a huge market in developing nations.
Implications - Developing countries do not have the same luxuries found in North America or other more technologically or economically advanced cultures; however, citizens of these countries still long for and deserve similar lifestyles. Thus, some companies are finding ways to reach a middle ground, offering more affordable alternatives to the desired westernized lifestyle.
What's Driving This Trend
- Affordable Mobile Phones
- The rise of affordable mobile phones offers disruptive innovation opportunities in the development of accessible technology for low-income consumers globally.
- Featureless Phones
- The development of featureless phones, which eliminate non-essential elements such as screens and fancy features, could provide disruptive innovation opportunities for companies interested in serving the most basic phone needs of low-income consumers.
- No-frills Mobile Phones
- The concept of no-frills mobile phones offers disruptive innovation opportunities in creating affordable and accessible communication devices for individuals in developing nations who are without phone service.
Who This Affects Most
- Telecommunications
- The telecommunications industry could benefit from the disruptive innovation opportunities presented by the creation of affordable mobile phones for individuals in developing nations.
- Consumer Electronics
- The consumer electronics industry could take advantage of the disruptive innovation opportunities presented by the development of featureless mobile phones designed to meet the basic communication needs of low-income consumers.
- Emerging Markets
- The rise of affordable mobile phones offers disruptive innovation opportunities for companies looking to penetrate emerging markets and meet the basic communication needs of low-income consumers.
