Cherry Mobile Flare - ICS at below 4K

Cherry Mobile is releasing a 4-inch Android 4.0 (Ice Cream Sandwich) this month at a unbelievable price of Php3,999 called the Flare.

The Cherry Mobile Flare had very decent specifications despite the low price.  The 4-inch display is a IPS capacitive touch panel with a WVGA (480 x 800) resolution.  The phone is also a dual SIM device, but instead of the usual Mediatek chipset, this one has a Qualcomm   MSM8225 Snapdragon S4 with  dual-core processor 1.2GHz and Adreno 203 GPU graphics. This chipset supports HSPA connectivity. You also get a very decently size 1600mAh battery. Internal storage is a decent 4GB, which is expandable up to 32GB via microSD. It also has a 5-megapixel rear camera with flash and it does also have a VGA front-facing camera. Nothing is missing with WiFi, WiFi Hotspot, Bluetooth 2.1 and GPS w/ aGPS support

Yes, it is hard to believe this phone only costs Php3,999.

Is there a catch? The phone comes with 512MB RAM, is the floor minimum for a Android 4.0 device. Also the Adreno 203 graphics processing unti probably mean no HD video recording, but I still have to confirm that. At the price I am not complaining.