I thought that too, but then I found the ZTE Tania, for £69.99, same seller as the Open. It's a Windows Phone, but it's got a faster CPU, 800 x 480 screen, 217ppi (vs. 480 x 320 on the Open), bigger battery, more flash. No micro-SD slot though.
* 5MP vs 3MP camera (most likely both are useless)
* Smaller dimensions even with a larger display
Too bad that you can't just install whatever OS you want easily on whatever hardware. And of course random cheap Chinese electronics are bit risky purchases quality wise.
It's the same price as the low end Samsung android phones with comparable specs. If you're willing to roll the dice with no-name phones imported directly from China, you can get an unlocked smartphone for around $50
A smartphone to be useful has to have applications and a market to get more applications. A smart-phone that doesn't is no better than a an older locked down brick or flip phone with pre-loaded vendor supplied 'apps'
A user doesn't care what underlying technology it has. Even crappy phones have some web browser on them. A user cares about thing like "Can I get Shazam installed?" or "What about my Facebook app and the game I saw my cousin play on his iPhone?" If the answer if no, they don't care what magic soup of technology acronyms there are inside.