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Consumers Favor Internet Over Cell Phone and Cable TV
added: 2009-06-20

Americans value broadband more than ever with home broadband adoption rates up 15 percent in 2009 and consumers favoring Internet over cell phone and cable TV, according to new research from the Pew Internet & American Life Project.

"We found that broadband is now in the 'must keep' category for Americans, even when economic times are tough," said Horrigan, principal author of the report. "Many consumers view their home broadband connection as a conduit for connecting to community and economic opportunities."

The new research shows 63 percent of adult Americans surveyed now have broadband Internet connections at home. The growth in broadband adoption indicates that the economic recession has had little effect on decisions about whether to buy or keep a home high-speed Internet connection. The survey found that people are twice as likely to say they have cut back or cancelled a cell phone plan or cable TV service than internet service.

- 9% of Internet users say that in the past 12 months they have cancelled or cut back online service.

- 22% of adults say they have cancelled or cut back cable TV service in the past 12 months.

- 22% of cell phone users report that in the past 12 months they have cancelled or cut back cell phone service.

Broadband users were also asked, for the first time in a Pew survey, how they view the importance of broadband to civic and community life. Some 55 percent of home broadband users said broadband was very important to at least one dimension of their lives and community, such as communicating with health care providers, government officials, sharing information about the community, or contributing to economic growth.

"The broadband stimulus package is intended to achieve targeted job creation," said Larry Irving, co-chairman of the IIA. "However, we need to look beyond the temporary effects of the stimulus and make sure that we are investing in projects that create sustainable infrastructure. Especially when invested in emerging technologies like smart grids and e-Health, stimulus dollars have an opportunity to make a significant, and more importantly a lasting, economic impact."

Congressional approval of the American Recovery and Reinvestment Plan (ARRP) allocated $7.2 billion for broadband development and charged the FCC with creating a national broadband plan. According to the IIA, an effective National Broadband Strategy will enable the government to partner with the private sector to extend broadband service to every corner of the country, while at the same time raising awareness of its benefits.

"Flexibility in a national broadband plan is key as we learn more from broadband mapping and from the return on initial stimulus investments," said IIA Co-Chairman Bruce Mehlman. "The best strategy will start by examining where we stand today and then identify policies to get us where we want to be, which ultimately is achieving our goal of 100 percent broadband adoption across the U.S."


Source: PR Newswire

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