I don't see the devices in this class of prices as a big threat for Apple. They're not in a race for market shares, what Apple looks for is revenue share.
Apple has always targeted the high-end of the smartphone market, and is using iOS to differentiate their devices from all the other (and they have a strong brand).
This kind of devices speaks trouble for two subjects:
1. Nokia. There's no future for the Symbian phones, and now that Android phones cost less that the less-capable Nokia smartphones they're in big trouble.
2. High-end Android smartphones. It's difficult to differentiate for an high-end device when the cheap ones runs the same application with little or no downgrades... this will inevitably shrink the margin of the manufacturers (Motorola has the brand, but what about the others?).
Apple has always targeted the high-end of the smartphone market, and is using iOS to differentiate their devices from all the other (and they have a strong brand).
This kind of devices speaks trouble for two subjects:
1. Nokia. There's no future for the Symbian phones, and now that Android phones cost less that the less-capable Nokia smartphones they're in big trouble.
2. High-end Android smartphones. It's difficult to differentiate for an high-end device when the cheap ones runs the same application with little or no downgrades... this will inevitably shrink the margin of the manufacturers (Motorola has the brand, but what about the others?).