Google's new hardware division, I mean Motorola, just got its XT531 budget smartphone into the FCC. The XT531 has already been released in Europe as the Fire XT and in Central and South America as the Spice XT. The smaller phone (now that 4-4.3" is the standard that is) has a pretty impressive spec list for a more economically-friendly phone.
Motorola's XT531 showed up at the FCC with AT&T's HSPA bands (850 and 1900 MHz) along with the standard WiFi and Bluetooth radios. For a little more info on the phone we can turn to the international versions, which has already been announced. The phone has only a 3.5" screen, but runs Gingerbread, and has both a front and rear camera.
We don't have an exact price point for the device, as an American release hasn't been officially announced. Given some of its less exciting specs though, the XT531 could offer cool features like a front-facing camera, and the latest version of Android for a price that will be a little less hard on your wallet. So we'll keep an eye out as Motorola continues to pump out the goodies while the Google purchase awaits approval.