A new system on a chip (SoC) design by Mediatek could help Google and its manufacturing partners—such as HTC, Samsung, LG, and Motorola—attack the mid- to low-end smartphone market with the potential to offer an Android smartphone for $100. According to UnwiredView, "The new dedicated Mediatek chip, with an integrated 3G baseband and application processor, may allow for the production of Android handsets in $100 price range."

Samples of the chips have begun to ship to manufacturing partners and Mediatek is expected to enter volume production at the end of the year. Initially, smartphones utilizing the chip are expected for China in the first half of 2011. It will probably take a bit of time before we see the prices of Android smartphones start to fall.

(via: UnwiredView)