In much the same way as FirefoxOS is targeting foreign markets with low-cost phones, with the Intex Cloud Fx as the extreme example, Google is pushing for the overseas markets with Android One. Based on Android 4.4 and updated as new versions launch, for up to two years at least, the devices will not be old and outdated.
In terms of hardware, the platform is said to feature front and rear cameras, a quad-core processor, a microSD card slot, and dual SIM slots. Google has several partners involved with the initiative: Acer, Airtel, Alcatel, ASUS, HTC, Intex, Karbonn, LAVA, Lenovo, MediaTek, Cromax, Panasonic, Qualcomm, Spice, and Xolo. Besides a baseline standard, and a bit of marketing, there does not seem to be much to the platform itself.
Of course, delivering a quality standard, at an affordable price, to places which normally cannot obtain smartphones at all is noteworthy.