Microsoft introduced Nokia 105 phone that costs only $20 without contract. 

When Microsoft acquired Nokia, it started releasing Lumia phones under its own brand. Not all, though. You can still buy a Nokia-branded phone, but it will belong to the low-end segment of cheap phones, since this is the only category that is manufactured under its original brand. This entry-level tier just got a new member as Microsoft introduced to the public the new Nokia 105 - a feature phone in classic bar form factor that costs only $20 without any long term commitments.

The name of the Nokia 105 probably sounds familiar and it should, since a phone called exactly the same was released two years ago, in May 2013. Like its predecessor, the new Nokia 105 is as entry-level as a phone can be. And it's affordable too - it costs only $20 and comes contract free. Compared to the older models, the new 105 brings a few improvements but still offers only basic functionality such as making calls, sending texts, a couple of games (Snake Xenzia and Bubble Bash 2) and a handful of useful tools, for example torchlight and FM radio. The device is unable to connect to the internet, so downloading apps won't be an option.

The new Nokia 105 comes with 4MB of RAM which is enough to store up to 2000 contacts. For comparison, the previous variant had just 384kB of RAM which limited the number of contacts to 500. The phone has a 1.45-inch LCD display and there is an 800 mAh battery. It may seem small, but given the phone's modest hardware, it should be enough to provide up to 15 hours of talk time or up to 35 days of standby time. The handset runs Series 30 platform and will be available also in dual-SIM variant. All these features make the Nokia 105 a perfect choice for first-time cell phone users as well as those who are looking for a cheap secondary device.

It may seem that in the age of Android and iPhones, non-smartphones are about to become extinct. It's not exactly so, though. There are still many users who prefer basic phones over smartphones. According to Microsoft, the sales of the original Nokia 105 have reached 80 million units, or 100 units per minute, since 2013. The new version might have a chance to succeed as well, especially since it comes with improved specification and budget-friendly price tag. The phone will go on sale later this month.