Analysts suggest that the components in Google Nexus One might be a bit cheaper than the ones used in Motorola’s Droid.

Motorola Droid photo
Motorola Droid and Google Nexus One are aiming for the same target – the Apple iPhone. Both the phones run on Google’s Android operating system and come with efficient touchscreens.
According to market research firm iSuppli, the Nexus One might have been chaper to build than Droid because of the difference in the prices of components used in both mobile phones. According to their estimates, it may have cost USD 174 to build a Nexus One which the Droid might have cost around USD 185.

Google Nexus One home screen picture
An unlocked Google Nexus One sells for USD 529, while the best deal for Droid stands at USD 599.
In 2009, smartphones accounted for 14% of all the mobile phones sold, and by 2013, it is expected to increase to 38%. According to estimates, there is a general trend whereby customers move to high-end smartphones which feature facilities like e-mail, internet, 3G, advanced games and various software based tools.
While Motorola makes the Droid smartphone, it is the Taiwanese mobile phone manufacturer HTC that makes the Google Nexus One superphone.
For a two-year service contract with T-Mobile USA, the HTC Google Nexus One sells for USD 179, whereas Droid offers a two-year service contract with Verizon Wireless and sells it for USD 199.
The main difference in the evaluation of components of Droid and Nexus One could be the difference of the memoey cards being used in both smartphones. While Droid’s 16GB flash memory card might cost USD 35, Google Nexus One’s 4GB card costs only USD 8.5.