These phones use parts and designs that have already been paid for, and they are produced in a competitive market. So it's not surprising that the unit cost to

These phones use parts and designs that have already been paid for, and they are produced in a competitive market. So it's not surprising that the unit cost to the consumer approaches the cost of production. Once the BOM gets down into the low teens ( USD ) selling them at $50 is not unreasonable. It's not a glamorous high margin business like Apple; it's a low-margin high volume business like Walmart. I wonder what sorts of social networks they will enable?