With the release of Micromax a116 Canvas HD today, its time to look at Micromax a116 Canvas HD vs Canvas 2 a110 comparison.

Micromax a116 Canvas HD vs Micromax Canvas 2 a110 OS and Processor:

Both are dual SIM phones so there is no difference there. Canvas 2 comes with Android v4 (Ice Cream Sandwich) OS. It has a 1 GHz dual-core processor.
Micromax a116 Canvas HD comes with Android 4.1 Jelly Bean (with a 4.2 update to come). The Micromax A116 Canvas HD is powered by a Mediatek MT6589 chipset that has a quad core 1.2 GHz processor and PowerVR SGX5 GPU.
This is a clear pro of 116 canvas HD over a110 canvas 2.

Micromax a116 Canvas HD vs Micromax Canvas 2 a110
New Micromax A116 Canvas HD

Comparison of Display, Camera and Battery between Micromax a116 Canvas HD vs Canvas 2 a110:

Micromax a116 Canvas HD has 16.7 Million color 5 inch IPS display with a resolution of 1280 x720 whereas Canvas2 has LCD, 5 Inches, FWVGA, 854 x 480 Pixels, 262 K colours. This is a key differentiator between the two.
Micromax a110 canvas 2 has a 8 Megapixel primary camera and a116 also has 8MP rear camera with LED Flash, VGA front-facing camera. So no major difference to point out here. However, Micromax has reported that the camera on a116 is improved.
Canvas 2 uses a Li-Ion, 2000 mAh battery with 5 hrs (2G) talktime and a standby time of 180 hrs (2G). a116 phone is engineered with a 2100mAh battery. In this case head on comparison, both are almost equal.

Memory and storage comparison between Micromax a116 Canvas HD and Canvas 2 a110:

Micromax a 110 canvas 2 has 2 GB internal memory with expandable memory slot of microSD, upto 32 GB and 512 MB RAM.
Micromax a116 Canvas HD has 1GB RAM, 4GB internal memory, 32GB expandable memory with MicroSD
So there is some clear enhancement there which will result in better speed.

Bottom Line about Micromax a116 Canvas HD vs Micromax Canvas 2 a110:

In the spec comparison between Micromax canvas 2 a110 vs a116 Canvas HD, a116 seems to be a clear winner.
You have to pay 10299 for micromax a 110 canvas2 whenever available.  Micromax a116 Canvas HD will be availble for apx. 15000 and will be launched in first week of February 2013.