Exactly. HOP-ON after the phone for 10 bucks released a smartphone for 125.

HOP-ON did not stop at the release of a headless, screenless device, with a pronounced “call only” functionality and continued its research. Now the cheapest smartphone (only 125 dollars) and several intermediate models. You can view technical specifications on the
company's website.
Characteristics of the smartphone:
OS: Smart NX Mobile (Linux)
Platform: AP (Chipnuts Processor C7280)
Band: GSM Tri band 900/1800/1900 MHz
Dimension: 116mm (D) x64mm (W) x14mm (H)
Display: 2.5 inch QVGA 320 * 240 262K TFT (Touch Screen)
Camera: CMOS 2M pixels
External memory slot: Micro SD
Ring tone: Midi 64 Polyphonic
')
PS still very smiled their comparison of "size does matter" with an iPhone:
