Journalism of Courage
Docoss X1 and Freedom 251 by Ringing Bells are two really cheap smartphones that have managed to grab attention in India. Docoss X1, which is being offered by the company of the same name, costs Rs 888. It has a 4-inch display with 1GB RAM with 4GB storage (32GB expandable), a dual-core processor, Android 4.4 KitKat, a 2 megapixel camera and a 0.2 megapixel front camera, and a 1300 mAh battery. For most users and media, Docoss is an unknown player, and so the company's Rs 888 pricing for an Android phone has raised eyebrows. Is the Docoss X1 a real smartphone? The company, which had headquarters in Jaipur, claims it will start delivering the smartphones from today, which is May 2. Here's why the pricing is hard to believe. Read more here
Docoss X1 has tried to quash doubts by putting out hands-on videos and photos on its social media channels. It has even put out a 'thank-you' video on YouTube, assuring customers that it will start deliveries. But given that we don't know who is talking in the video, whether the person is the company CEO or owner, it doesn't mean much, just like the so called 'hands-on' videos and photos. Read more here
Docoss X1 costs Rs 888 but this pricing is hard to accept for most in the smartphone industry. Indian Cellular Association (ICA) president Pankaj Mohindroo had told IndianExpress.com at the time of the Ringing Bells launch that this “pricing is not possible under any circumstances, even if the components are made in India”. He said the bill for material for a product like this would be around $40. Since Docoss X1 offers similar specs, it is likely that the phone cost $40 or Rs 2600 to build. And hence the Rs 888 price-tag makes no sense. Read more here
Phones usually have a bill of material (BoM) cost on top of which comes the manufacturing cost, plus components like taxes and duties, and marketing cost and profits — together making up the final selling price. In such case, how Docoss has kept the price so low, remains a big question. Plus it is not clear how the company is manufacturing the smartphone. Read more here
Analyst Sanchit Vir Gogia, CEO & Founder at Greyhound Knowledge Group, had told us at the launch of Freedom 251, that the lowest price point seen so far on a smartphone was $ 28, or about Rs 1,700. Docoss X1 and Freedom 251 are both considerably lower than this price-point. Read more here
Even if the company delivers the Rs 888 smartphone, warranty and after sales service remains a question. We've seen even bigger players struggle to offer quality after-sales service. So how does Docoss plan to manage this? There's no clear answer. Read more here
