The first mobile phone to use Google Inc's Android mobile operating software will cost $199, the Wall Street Journal reported on its website on Wednesday.

The phone, which features a slide-out keypad, is being manufactured by Taiwan's HTC Corp and will be sold by Deutsche Telekom's, T-Mobile USA unit, which plans to unveil the device at an event in New York on Sept 23.



AT&T Inc, the only US operator selling Apple Inc's iPhone, set the price of the latest version at $199 in July, setting a benchmark for smartphones that can surf the Web, manage email and other multimedia features.