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Consumers Pull The Plug On Standard Phone Lines – MetaFacts TUPdate #031125
Dan Ness, Principal Analyst, MetaFacts, November 25, 2003
 
 
How many telephone lines do you have in your home? With broadband Internet connections such as Cable on the rise and the use of cell-phones becoming more mainstream, the number of homes deciding to drop their traditional hardwired home phone line has skyrocketed in recent years. In fact, with recent legislation allowing homes to switch their landline number to wireless carriers, you can count on this migration to continue. Supporting this trend is data from the 2003 edition of the Technology User Profile survey where 11,175 respondents who were asked how many telephone lines were in their home.

According to the research conducted by MetaFacts, Inc., the number of PC-using homes without a standard landline increased 60% since 2002 (3.2 million in ‘03 versus 2.0 million in ‘02). In terms of all PC-using homes, the numbers are just as dramatic. The percentage of users without any telephone line grew from 2.4 percent in 2002 to 3.5 percent in 2003, a 46 percent year over year increase. (See table below). Within homes with one person, growth was even faster, rising from 2.3% in 2002 to 5% in 2003.

 

Number of Telephone Lines in Home

(% of Projected Installed Home PCs-in households with Home PCs)

  2001 2002 2003 2003/2002
No Phone Line 0.3% 2.4% 3.5% 45.8%
One Phone Line 72.9% 67.0% 68.3% 1.9%
Two Phone Lines 23.8% 26.5% 23.2% -12.5%
Three or More 2.9% 4.1% 5.0% 22.0%
Source: MetaFacts, Inc. – Technology User Profile – 2003 and 2002
 
What's ahead?
As indicated in other research from MetaFacts, Internet cable subscriptions are up more than 17 percent in 2002 over the prior year (see TUPdate: Cable Companies Drive Homes To Switch Internet Providers, Nov-03). Accompanying this trend to faster, always-on Internet, is a move by cellphone providers to offer more attractive “Free” anytime minute packages. The combined impact has put pressure is on traditional Bell companies to provide competitive calling packages to an increasing population of mobile and broadband consumers.

T-Mobile, for example, offers a regional airtime package that includes 3,000 anytime minutes for under $50. That’s 50 hours of talk time per month—plenty for the average user. With options like that, it’s no surprise consumers are opting to reduce the number of phone numbers they carry while eliminating the cost of maintaining separate wired, and wireless phone bills.

 
Background & Methodology
Factual, decision-making information like this is only found in one place, the Technology User Profile from MetaFacts. The Technology User Profile market research information service is based on extensive primary research selected and balanced to represent the American population - including technology users and non-technology users. Drawn from more than 10,000 surveys per year reporting on over 250 questions, it is the most comprehensive total market technology study available. TUPdates are brief summaries of information contained in the Technology User Profile.
 

Links to PDF Document

For a PDF copy of this TUPdate, please follow this link to the full document.
 
Other Resources
Current Technology User Profile subscribers may be interested in the following links with related, more detailed or updated information:

Number of Telephone Lines in Household (Home/Family)

TUP 2003 Annual Edition (Excel)

TUP 2003 Annual Edition (pdf)

TUP 2002 Annual Edition (Excel)

TUP 2002 Annual Edition (pdf)

TUP 2001 Annual Edition (Excel)

TUP 2001 Annual Edition (pdf)

 


Usage Guidelines

This TUPdate is provided as a service to subscribers of the MetaFacts Technology User Profile® service, technology marketers, the investment community and other interested parties. Current Technology User Profile subscribers may freely distribute this information within their firms. Further information about Technology User Profile can be obtained at the website www.technologyuser.com or by contacting us at:




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