The Nexus 6 launched on Google Play this week starting at $649 unlocked, but you may be able to pick up the stock Android smartphone for considerably less once it finally hits carriers. It turns out the device could go for just $199 on-contract according to Hiroshi Lockheimer, Google’s Android vice president of engineering.

Lockheimer explained the company’s new pricing strategy in a recent interview with CNET, noting that most shoppers don’t realize how a $350 off-contract phone may actually be cheaper than paying $199 with a two-year contract in the long run. “We are selling the Nexus 6 in a way most people are used to buying it,” he said.

So the Nexus 6 won’t be cheap off-contract like the Nexus 5, but it should still be a great deal compared to other high-end phablets. Both Samsung’s Galaxy Note 4 and Apple’s iPhone 6 Plus start at $299 on-contract, making Google’s new phone a steal by comparison. The Nexus 6 also offers a bigger screen and cutting-edge specs, so you won’t be sacrificing in the hardware department either.

In case you missed it,here’s what the Nexus 6 has to offer. The stock Android phablet packs a 5.96-inch Quad HD AMOLED display, a Snapdragon 805 processor, a 3220mAh battery, a 13-megapixel camera, 3GB of RAM and 32GB/64GB of storage. It’s also one of the first devices to run Android 5.0 Lollipop out of the box.

We’ll have way more Nexus coverage coming up soon, and we’re still waiting to see how carriers decide to handle the new device. Stay tuned.