T-Mobile Prism official, priced at $19.99 with contract or $149.99 without

And just like that, the T-Mobile Prism has made the jump from rumored handset to official member of the Magenta family. T-Mobile has just announced the Prism, which the carrier describes as a "budget-friendly option" for customers in the market for their first smartphone. The Prism will be available at Best Buy starting on May 6th and Walmart a few days later on May 9th, with the handset hitting T-Mobile stores nationwide as well as the carrier's website on May 23rd. Pricing is set at $19.99 with a two-year contract and $50 mail-in rebate or $149.99 without a commitment.

So what kind of specs does the Prism pack? According to T-Mobile it's got a 3.5-inch HVGA touchscreen, 3.2-megapixel camera and Android 2.3 Gingerbread. Although the Prism may not be a  super high-end handset with bleeding edge specs, it looks like a nice option for anyone in the market for an affordable smartphone, especially with its $20 on-contract/$150 off-contract pricing. T-Mobile's announcement of the Prism is available below.

Statement: T-Mobile Introduces Its Latest Budget-Friendly Smartphone: T-Mobile Prism

Built for first-time smartphone customers, the new Android device is expected to be available starting May 6.

Bellevue, Wash. — May. 2, 2012

2012-05-02 12:17:26

T-Mobile USA, Inc., today announced the upcoming availability of the T-Mobile® Prism™, the latest budget-friendly option for cost-conscious consumers looking for their first smartphone.  The T-Mobile Prism will be available to T-Mobile customers through flexible pricing options, including no annual contract paired with a T-Mobile Monthly4G™ plan or paired with a two-year T-Mobile Classic or Value plan.

Powered by Android™ 2.3 Gingerbread and featuring a 3.5-inch HVGA touch screen, the new 3G smartphone enables T-Mobile customers to easily surf the Web, access their favorite social networking sites and choose from thousands of applications to download from Google Play. The  T-Mobile Prism also makes it simple to capture and share photos and videos via its 3.2-megapixel camera with digital zoom and video recorder. With the T-Mobile Prism, customers can sync multiple email accounts, including Microsoft Exchange, Google calendar and contacts, T-Mobile contacts, and more.

The T-Mobile Prism is expected to be available at Best Buy starting May 6, at Walmart starting May 9 and available nationwide at T-Mobile retail stores, online via www.T-Mobile.com and at select dealers beginning May 23. The T-Mobile Prism is expected to cost $19.99 after a $50 mail-in-rebate card with a two-year service agreement and qualifying Classic voice and data plan or $149.99 via no annual contract.

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