October 25, 2005 9:50 AM PDT

Consumers ready to ditch landlines

More and more Americans are trading landline phones for wireless phones and Internet telephony, new data shows.

By 2009, between 23 percent and 37 percent of wireless subscribers will use a cell phone as their primary telephone, market researcher In-Stat said in a report published Tuesday. Already, nearly 9.4 percent of wireless subscribers use mobile phones as their primary phone.

"Those who are considering wireless substitution for landline are primarily motivated by lifestyle issues, as long as they don't have to give up much in terms of quality, reliability or services," David Chamberlain, a senior In-Stat analyst, said in a statement. "Wireless carriers can stimulate substitution by continuing to attract customers to advanced wireless features and educating them about availability of number portability."

In-Stat said heavy wireless users are among those most likely to discard wired phones. Barriers to landline replacement include in-building coverage and fear of inconveniences like changing a number-?problems that can be solved through network build-out and consumer education, the study said.

In a separate study, JupiterResearch has projected that voice over Internet telephony will grow to a subscriber base of 20.4 million in 2010, compared to 1.2 million in 2004. The market researcher defines broadband telephony as VoIP-based service that allows calls via the Internet from anyone with a phone. JupiterResearch said VoIP services offered by cable operators and start-ups are enhancing consumer awareness.

"With the current abundance of broadband telephony offerings, the market has spurred competition around price and features," said David Schatsky, senior vice president of research at JupiterResearch. "Although most consumers still do not know what VoIP stands for, they do increasingly know that if they have broadband, they have alternatives for getting phone service."

10 comments

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Bad Idea
Cell phones are nowhere close enough in reliability to switch over from land lines.
And in major disasters they are a major disappointment.
I wish cell phone companies would put more effort into improving signal strength and availability and less on advertising and hype.
Not ready for prime time.
Posted by gdmaclew (158 comments )
Reply Link Flag
Different perspective
I dropped my land line 4 years ago in favor of my cell phone. As a single person living alone I saw no need to have a phone that rings where I'm at only part of the day. Likewise it was a great relief to give up all those annoying telemarketing calls.

I also don't miss all the extra charges the phone company makes, like the one for touch tone service (get real! -- who uses rotary phones any more? -- why aren't they charging extra to keep supporting that ancient technology?). And the "long distance carrier" nonsense is now gone not to mention the extra few bucks required (by law -- thanks to the idiots in Congress) for having that service.

Instead I have a phone that's with me whereever I'm at (set to ring silently). Of course I don't spend much time on the phone so it's quite inexpensive and with broadband access I don't need a phone line just to access the internet either.

It's not for everyone but it works quite well for me.
Posted by aabcdefghij987654321 (1722 comments )
Link Flag
Bad Idea
Cell phones are nowhere close enough in reliability to switch over from land lines.
And in major disasters they are a major disappointment.
I wish cell phone companies would put more effort into improving signal strength and availability and less on advertising and hype.
Not ready for prime time.
Posted by gdmaclew (158 comments )
Reply Link Flag
Different perspective
I dropped my land line 4 years ago in favor of my cell phone. As a single person living alone I saw no need to have a phone that rings where I'm at only part of the day. Likewise it was a great relief to give up all those annoying telemarketing calls.

I also don't miss all the extra charges the phone company makes, like the one for touch tone service (get real! -- who uses rotary phones any more? -- why aren't they charging extra to keep supporting that ancient technology?). And the "long distance carrier" nonsense is now gone not to mention the extra few bucks required (by law -- thanks to the idiots in Congress) for having that service.

Instead I have a phone that's with me whereever I'm at (set to ring silently). Of course I don't spend much time on the phone so it's quite inexpensive and with broadband access I don't need a phone line just to access the internet either.

It's not for everyone but it works quite well for me.
Posted by aabcdefghij987654321 (1722 comments )
Link Flag
Not ready just yet
Now that TiVo no longer needs a land line for set up I am closer to cutting the wire. But my alarm system still requires a land line so I will have to wait.
Posted by TiVoJoe (83 comments )
Reply Link Flag
Not ready just yet
Now that TiVo no longer needs a land line for set up I am closer to cutting the wire. But my alarm system still requires a land line so I will have to wait.
Posted by TiVoJoe (83 comments )
Reply Link Flag
 

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