Celkon, the Hyderabad-based mobile handset player, has launched two Android phones (A 95 and A 97) with 1GHz processor at Rs 5,229 and Rs 8,499, respectively.

This is likely to trigger a fresh price war as phones with processor of this capacity are being sold beyond Rs 10,000.

“We are the first firm in India to introduce the phones with this latest chipset from MediaTek. This will significantly improve the performance of the phone'' Mr Y. Guru, Managing Director of Celkon, said.

Addressing reporters here on Friday, Mr R Mural, Executive Director, he said the company was in talks with start-ups in India to come up with India-specific apps. These apps will be embedded in the phone. Celkon, which claims third position in India in handset sales, will launch four more smartphones and two tablets in a month. The tablets will be priced under Rs 5,000. It registered a turnover of Rs 325 crore in 2011-12 against Rs 100 crore in the previous year.

Manufacturing facility

Celkon is in talks with Tamil Nadu, Andhra Pradesh and Karnataka Governments to set up an assembly unit with an outlay of Rs 250 crore. Mr Guru said the company awaited a national policy on mobile and electronic equipment to come into being in order to proceed with the plan.

kurmanath@thehindu.co.in