MotoX introduced in US at $199

The features include:
- Snapdragon S4 Pro with a 1.7GHz dual-core Krait CPU and a quad-core Adreno 320 GPU
- 4.7 inch 720p AMOLED touch screen
- 2 GB RAM
- 16 GB base storage (32 GB in AT&T variant)
- 2,200mAh battery (up to 24 hours of "mixed" usage)
- 10 MP clear pixel rear camera and 2 MP front camera
At the end of Aug 16GB variant will be available at $199 with a two-year contract on AT&T, Sprint, T-Mobile, US Cellular and Verizon whereas AT&T's 32GB variant will be available at $249.
What do you guys think of this? Strong enough to compete in this smartphone era?