Google is looking to change the smartphone industry and new announcements are pitting the search company directly against the high priced iPhone from Apple. According to reports, there are rumors abuzz that Google is looking to release a new smartphone that will cost only $100, which could be well below the market average.

The initial rumors began after Taiwanese supply chain sources were reported to be dealing with the potential of the new possible cheaper smartphone from Google. However, it is still unclear whether this is a real idea, or something that was leaked without any company backing.

There were also reports that Google will be launching the phone at $100, but neither the Taiwanese "sources" nor the Chinese site detailed what that new phone would look like, although some have speculated it could be the evolution of the Nexus phones.

Google was not immediate available to comment on the leak and has not publicly confirmed or denied the reports coming out. The Mountain View-based company is expected to release its new Nexus 6 smartphone this year as it attempts to win over the general population.

Its previous smartphone, with a large screen, was well-received by observers and experts, but did not make a splash on the market as users shied away from the phone.

The rumors also come after Apple rumors over the future iPhone saw that its phone could see an increase in price, an issue that already has users worried that the newest addition to the Apple family could price itself out.

Based on reports, the proposal from Apple to start the selling price with American mobile carriers at $300 has not been received well, forcing the company to rethink the price hike. This could have led to Google seizing the moment among the angst to promote and release small details concerning their plans to undercut Apple with a much cheaper smartphone.

It also comes after seeing Motorola's own success with a cheaper smartphone. "The Moto G has been the most successful, highest-selling smartphone in Motorola's history," said Motorola's Senior VP Rick Osterloh during an MWC 2014 event.

If Google does go forward with a large screen, cheaper model, it could help them move back into the smartphone market and compete against Apple. Users are picking up larger screen smartphones at cheaper costs, which could make the new Google smartphone at $100 a steal that could have much traction in the marketplace.

The smartphone battle appears to be heating up and while it is prudent to wait for confirmed details, the rumor mill is in full swing.