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World’s Cheapest Smartphone “Freedom 251″ , Is it Real ??


In India, today many people got up early in the morning at 5:30 AM IST. All people want to Book Freedom 251 Smartphone launched by Ringing Bells Pvt. Ltd yesterday. This is the World’s cheapest 3G Smartphone which is priced at Rs.251 (USD $3.66).

Freedom Site also crashed and a few bugs were reported :

  • Once you add the Freedom 251 Smartphone to your cart and enter all the shipping details and once you click on submit the same page reloads with all the fields blank. Most of the users were not able to book the Smartphone including me.
  • you can buy half of Freedom 251 at 50% Off the price. In the Qty field, if you enter .5 then the price is calculated by half. You will get 50% Discount :)

Freedom 251 looks like a copy of Adcom Icon 4. There were reports that Adcom is manufacturing the Freedom 251, World’s cheapest Smartphone. But today Adcom official denied that report and told that Adcom is no way connected with Noida based Ringing Bells Private Limited.

Adcom is build in China and imported to India and sold here. Expressing concern over the launch of a smartphone at price as low as Rs 251, Telecom industry body Indian Cellular Association (ICA) has written to Telecom Minister Ravi Shankar Prasad to get into depth of the issue, saying the rate could not be below Rs 3,500 even after a subsidized sale.

Pankaj Mohindroo, ICA National President stated  “For your kind information, the bill of material (BOM) value for a product like this when sourced from the cheapest supply chain cost approximately USD 40 (Rs 2,700). ”And this, when translated into retail price after addition of applicable duties, taxes and with distribution and retail margins would be at least Rs 4,100 while the product is being sold at Rs 251,”

The key issues raised are :

  • Objective, and aim behind the offer
  • Is it a collective investment scheme ? Registered ? Ponzy ?
  • Background, Financial Status, Structure, Experience, Nature of Business in Group
  • Turnover, Financial worth
  • Real Product ?
  • Real Scheme ?Hidden provisions ?
  • Actual Meaning of offer
  • How many Units are up for Sale @ Rs 251
  • There are two catch points : One if 1 Cr. Registrations are done : Means easy money 251 Cr, Another catch could be : A very small number is available for sales, but the loss encurred in these Units is way way less than the Publicity Cost.  One full paper advert in National Newspaper can cost around INR 1.5 Cr.

Apart from above questions, We have our own doubts also :

  • The very first question is Why ” Cash on Delivery ” Not available
  • Why 4 months Delivery Time ?
  • If it’s part of Make in India Project, Where is the Manufacturing location ?
  • Is it a Semi-Government Project or Govt. funded ?
  • How old is this company, and what is the credibility of the Investors ?
  • Why no details of SVC Centres ?
  • It’s available through Distributors, but now via On-line channel like Flipkart / Snapdeal / Amazon ?
  • Is Rs. 251 just the booking amount ? , or it’s the full cost
  • What is the actual Manufacturing cost / BOM Cost of Smartphone ?

Please see the letter for all the questions.


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