Even though 3G is the latest Fad, Chinese consider SmartPhone more of as an entertainment device. WiFi is popular in China and most smartphones use WiFi for data connection rather than using cellular. Maybe that's the reason why Airtel is also expanding its Wi-Fi Network in India ?
The retail prices of EDGE smartphones are 20-30% lower than those of 3G smartphones (and EDGE smartphones have the same specifications but without the 3G) mainly due to the saving in royalties and license fees.