Mozilla has reportedly concluded that dirt-cheap handsets are not enough to make it on the smartphone market, and has bigger plans for its Firefox OS.

The company, most popular for its popular Firefox browser, decided to take a shot at the smartphone market back in 2013, when it launched is Web-based mobile OS and signed a few partnerships with OEMs to release ultra-affordable devices.

Mozilla has seen some success in these endeavors, but not enough to make it big on the highly-competitive smartphone market. The company is now reportedly looking to focus more on quality, ot just on dirt cheap prices, according to a company email sent to employees a few days ago and obtained by CNET.

A new "Ignite" initiative reportedly aims to overhaul the strategy regarding Firefox OS under CEO Chris Beard by focusing on selling a Firefox OS smartphone that has more attractive specs and features, not just a low price tag. Mozilla's $25 handsets did raise some interest, but didn't see huge popularity.

'We will build phones and connected devices that people want to buy because of the experience, not simply the price,' Beard noted in the email. "We have not seen sufficient traction for a $25 phone, and we will not pursue all parts of the program."

Moreover, new Firefox OS smartphones that will launch under this "Ignite" initiative will come with an enhanced ability to work offline, an improved software update delivery system, and go beyond Web apps. Ignite would also add support for flip phones, and boost the company's efforts regarding Firefox for IoT.

Perhaps more exciting is the fact that Mozilla is apparently considering to add Android app compatibility to its Firefox OS, which would mean a wider app ecosystem with more possibilities.

"To bridge this app gap between user expectations and the readiness of the ecosystem, we will explore implementing Android app compatibility. Also, the process will take place keeping the firm's 'long-term focus on the Web,'" adds the email.

It remains to be seen just how Mozilla will make Android apps play nice with its Firefox OS, but only a few apps are expected to debut on the platform. Nevertheless, if everything works out, the company might add more Android apps to its platform in the future.

Beard further acknowledges that Mozilla faces "sophisticated competition from the most aggressive and largest technology companies in the world," but believes that Firefox OS can make it with the right recipe of apps, features, and pricing.