The $5 smartphone, The Freedom 251, that has Apple nervous

Look out Apple - an Indian telecoms company is selling what it says is the world’s cheapest smartphone.

An Indian telecoms company is selling what it says is the world’s cheapest smartphone, costing less than three pounds ($6).

The Freedom 251, which will run on Android and features 3G, a 4in screen, 8GB of internal storage and a camera on the front and back, is available to order now with deliveries promised in June.

The frenzy that followed its launch the week caused the website of Ringing Bells, which is offering it, to crash.

The phone, which it says will be manufactured in India in response to the Make in India campaign of Narendra Modi, the prime minister, will be loaded with apps promoting government programs.

Ringing Bells says that the handset, which will initially cost about 2000 rupees ($40) to make, is not subsidised by the state but that it hopes that economies of scale will help it to make a profit.

India has more than a billion mobile phone subscribers, but many have basic handsets without internet access, particularly in the countryside.

Critics say that its business case does not add up. The Indian Cellular Association says that is not possible to sell a 3G phone for less than 2700 rupees, and an MP with the ruling Bharatiya Janata Party called it a “scam”.

Freedom 251 launched as 'world's cheapest smartphone' at Rs 251https://t.co/W4tLJNJr75

— NDTV (@ndtv) February 17, 2016

The Times