China Mobile (NYSE:CHL) took the wraps off M701 and M601, two in-house developed low-end smartphones, to make inroads into handset sector.

Powered by Android system, M701 and M601 are priced at 1,299 yuan ($211.99) and 499 yuan, featuring 5-inch and 4-inch screens, respectively. The two smartphones support GSM, TD and WCDMA networks, which means that China Unicom subscribers also can use these two handsets. The two China Mobile branded handsets will be on sale in mid-August. The company also released accessories for the new products, including chargers and WiFi devices.

China Mobile is being accused of encroaching upon the businesses of hardware manufacturers, disturbing the harmony in industrial eco-system. But China Mobile defended that it is an international practice for telecom operators to develop handsets. A spate of international telecom carriers launched homegrown terminal products in the past decade, such as Verison, T-Mobile, Vodafone, Softbank, according to Tang Jianfeng, deputy manager of the company’s mobile terminal unit.

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Emma Lee

Emma Lee is Shanghai-based tech writer, covering startups and tech happenings in China and Asia in general. We are looking for stories related to tech and China. Reach her at lixin@technode.com.