After Success With E-Readers, Shanda Plans a Budget Smartphone

This is not the actual Shanda smartphone. The real thing is set to launch this summer.

The Chinese web company Shanda (NASDAQ:SNDA; FRA:RZP) is set to launch its first ever smartphone this summer, according to reports, which will run a highly customized version of Android. With a rumored price tag of just 999 RMB (US$158), Shanda could well be trying to create an ebook platform that supports both its e-reader, the successful BamBook, and its new smartphone – in the manner that Amazon (NASDAQ:AMZN) is doing with its Kindle and Kindle Fire tablet.

Local tech media reports that Shanda’s smartphone exists as an internal prototype that’s undergoing testing. Its specifications are not known, but at such a budget price it’s unlikely to be a cutting-edge device.

Shanda already has a great deal of apps for iOS and Android that support its ebook store, as well as other cloud-based services that it provides. But this report indicates that it feels the need to come out with a phone of its own.

All About the E-Books

Shanda’s BamBook is the second most popular e-reader hardware in China, and ties in with Shanda’s ‘Literature’ ebook store. But it faces stiff opposition in that sector from e-commerce giant Dangdang, which has an e-reader of its own coming to market soon.

Last year saw other major Chinese web companies making a big push into mobile with their own ecosystems – first there was Alibaba’s Aliyun phone, and then Baidu’s (NASDAQ:BIDU) Android-based Yi OS.

[Source: Techweb – article in Chinese]