Acer will be releasing a new smartphone for the Chinese market. The most impressive aspect about this device is that it is powered by Aliyun, the mobile operating system developed by Chinese e-commerce giant Alibaba Group Holding.

The company aims at scuttling the monopoly of Google’s Android OS. The new Alyun OS was launched last year and this is its debut opportunity for it to step into the amazing world of mobile OSes in the international market.

The news has come out at the time when world is seeking possible alternatives to Android, as the technology industry is closely watching Apple Inc’s (AAPL) patent war against rival smartphone makers using the Google software.

Dave Chan, general manager of Acer’s global smartphone business group overseeing Chinese operations, said they chose Aliyun for the new smartphone because of the user experience it can offer.He also said that the new OS is the easiest mobile OS to navigate with and therefore he is expecting a warm welcome.

Unlike Apple’s iOS or Google’s Android, on which apps are installed one the device, Aliyun runs Web-based apps that are stored on remote servers. The system also comes with its own mapping and email applications. It’s a result of hardwork of more than 1,600 engineers as the company claims it.

Acer said its CloudMobile A800 smartphone, which will go on sale this Friday, will be its highest-priced smartphone in China, selling for $473.

Acer said it will also release the same handset in other parts of the world other than China, but the ones sold outside China will be powered by Android even though the hardware is the same as the Aliyun-based model.

After the release of the new Aliyun-based smartphone, Acer plans to release another Aliyun-based model next month, followed by a few more next year, Chan said. Acer A800 will feature a 4.3-inch screen and has the world’s highest resolution.

It boasts of a full-fit design, 9.9mm thickness, and 125g lightweight design, metal texture and 3D handset design. Physically, this phone does highlight its high-end quality.