It's made for people who want a basic phone. My parents would like this phone. My friends kids would like this phone. It's a mass market, inexpensive handset that sells way more then the high end HSDPA handsets. That's all it is. Just because you do not understand why, doesn't mean it won't sell.
Handsets like these sell in the millions, while the high end handsets sell in the thousands. High End PDA handsets make up about 3% of total sales. Low end handsets (like this one), make up over 70% of total sales. Now . . . you do the math.