If you are wondering when Apple switched to using Android instead of iOS, we wont keep you wondering for too long, as this iPhone isn't manufactured by Apple. In fact this iPhone is manufactured by Grandiente and isn't an iPhone at all, at least not physically.
This iPhone runs Android and it’s manufacturer got the rights to use the iPhone name in the country after the Brazilian Institute of Intellectual Property (INPI) ruled in favor of Grandiente. The company originally registered the iPhone name in the Brazil back in 2000 and even though they didn’t produce a handset until 2012, the INPI’s ruling game them the right to use the iPhone name.The INPI said that their decision only applies to handsets and that Apple has the rights to use the iPhone name on any other product or publication. Apple isn't forbidden to sell its smartphone in Latin America's largest market, but faces a potential lawsuit from Gradiente.
The Grandiente iPhone Neo One as it is known costs 599 Reals (USD $304) compared to the $650 price of the Apple iPhone 5. Grandiente’s chairman said that he was open to the possibility of working out a licensing deal with Apple and said, "We're open to a dialogue for anything, anytime... we're not radicals."
source – Android Central