Growing Number of Customers Dump Landlines for Wireless

7:18 am on December 12, 2007 | Category: Cell Phones, Telecom Services, Telephone, Wireless

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A growing number of American cell phone users are ditching their fixed-line telephones, and close to a quarter of current landline subscribers would consider using wireless only, according to a recent report by In-Stat.

Researchers found that most “cord cutters” are less than 35 years old, and have a lower income than the average landline subscriber. These people apparently use 22% more wireless airtime than the average survey respondent, and 40% more than those who had no interest in canceling their fixed-line service.

As one might expect, cord cutters tend to spend considerably more than average on wireless service, with an average phone bill of $111 per month.

“The largest number of current cord cutters — those who do not have a landline, but rely solely on their mobile phone — are those one might expect: young, single, living alone or sharing quarters such as a dormitory or rooming house,” said Jill Meyers, In-Stat analyst in a release announcing the findings. “In many cases, these are people who are the least-likely candidates to have a landline phone.”

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    1. Surveys and industry experience have noted that a number of end users have opted to have a wireless telecom service without also subscribing to a landline telecom service. These individuals are primarily “young, single, living alone or sharing quarters”. These are customers going through transitions in their lives. It would be more interesting and informative if the surveys also studied how many individuals from this group subsequently order landline services. Industry experience notes that many young wireless only customers later revert to adding a landline service. Also of interest would be surveying the trend of how many total customer lines, wireless and landline combined, have the ILECs sold by year. This would give a much greater insight into market trends.

      Comment by Michael Ward — December 13, 2007 #

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