Even today you can get a very capable Android phone for a quarter of the price of an iPhone. Phones like the ZTE Blade, Samsung Galaxy Mini and SE Xperia X8 are perfectly capable phones. Sure non of them can go head to head with the iPhone, but for a quarter of the price they certainly hold their own.

The interesting question is will the person who bought a Galaxy Mini upgrade to a Galaxy SIII or an iPhone 5 in a couple of years time.