Indian AKASH Tablet Launched for $49.98!

Indian AKASH Tablet Launched for $49.98!

The dream project of Government of India has been fulfilled and it has launched world`s cheapest tablet named as AKASH and amount to less than $35. But there is a replacement warranty of it which has enhanced its value up to more $14 which still keeps it to be the cheapest of all tablets.

Sunnet Singh Tuli , CEO  Datawind, the company manufacturing AKASH, said; 

The government has asked for a special replacement warranty. Government has asked us not to repair it (Aakash Tablet). 'You will have to replace it', which is a big cost. 

He further added that the ratio of defect in India is much more than that of in USA. It is maybe due to the harsh climate here in India. He also said; 

Those kind of costs add to it. This (Aakash) is Rs 2,200. It can be Rs 1,700. Actual manufacturing cost still is less than Rs 1,750. But there are all these other conditions which take it above Rs 1,750.

Kapil Sibal who is the minister of HRD had unveiled a prototype of a device and also said that it is in process of developing and will be sold at $35 per unit on 22 july 2010. By including every type of expenses that final price of the device has been $49.98 per unit. Tuli has said that people are challenging this low cost device but they are very much benefitted by selling this product to India government.

According to Tuli;

If we bring it after making in China, then there would have been no issues, because it's exempted from duties. I would have not been required to pay 4 per cent VAT (value added tax). Getting it from China and selling in India would have not make it exciting. Therefore, we made it at Hyderabad.

He also said the company will sell the commercial product at 2,999 which unlike the 1-year warranty of replacement by government to a 30-day replacement warranty. The government is buying this product at 2,276 but selling it at a subsidy of 50%.