OSNews

A lot of people harp on price, but that's only part of the equation. Consumers don't just look at price when they buy a product. It depends on how you slice the market. If you're looking at all phones, that's one market. If you're looking at premium phones, then that's a different market. In some ways price can define the market. In other ways price is almost irrelevant.

There are a number of consumers that don't want to pay for a phone when they get a contract and will not buy a phone because it's an extra $20. They aren't loyal consumers and place no value on the product. They probably just use the phone as (gasp!) a phone and not to run a lot of apps or browse the web. Saying they are Android users or are choosing Android is a little bit stretch, because they place zero value on the platform.

If they were willing to pay some amount (say $50) then you can say they are Android buyers but are price sensitive and might change their preference if a less expensive version of iPhone was available.

Other consumers expect to pay $200 (or more) at the time of purchase to have a premium phone. (Even if it's a matter of fashion and not a thorough vetting based on technical merits). I would say that's a different market and more interesting because you do have other factors that can come into play, such as brand loyalty. There may even come a day when we have to look at the cost of switching because you have to re-buy all your apps.

tl;dr
Price is only one component of the decision and may not be the most important, depending on how you define the market.