Now that government has announced 3G Policy,handset manufacturers are gearing up to launch 3G compatible phones at affordable price.

• Huawei Technologies is planning sell 3G entry-level phone within $80 to $100.
• LG’s KU250 3G phone is priced at $100.
• Motorola has about 3 3G models ranging from Rs 14,000 to Rs 19,000 (i.e. $350.-$475)

Will operator hold the gun?

Probably not. A start-up package could cost around Rs 299, which is roughly what consumers pay for a fixed broadband service. Unlimited downloading may require subscribers to pay Rs 500 to Rs 1,000 a month [via]

If you look at the current handset market, close to 50% is ULCH, while 15% are high-end phones (3G enabled) – essentially, the 15% subscriber based will serve as the initial adopters of the service and as VAS players/content players get into more action (i.e. more compelling content/distribution), the service can witness mass adoption.

Only 4,000 3G iPhone Sold in India?

Unlocked Google Android Phone for Indian Developers ($399)

iPhone price in India

A lot of this is function of revenue sharing between operators and VAS players – a number which is highly skewed towards the operators for now (70:30).

One thing is for sure, selling iPhone will not be a cakewalk for Apple/operators as Indian market is very different and a hyped-up (i)phone does not meet all the basic needs.

What’s your opinion?

Update: Price of iPhone 3GS in India

Related: Price of iPhone in India, Why Nokia is worried about iPhone’s entry?