"All this Android innovation is driving tremendous ecosystem momentum and I’m excited to share that together we’ve now passed 1 Billion Android device activations. Huge thanks to the entire Android community from the hardware manufacturers, chip makers and carriers to the developers and content creators to all of you - our Android users around the world - for making this possible."
Source: Post on Google+ by Sundar Pichai, 3rd September 2013
Earlier - 480m announced in September 2012 (assuming that 480m 'users' = devices)
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