Tuesday, November 15, 2005

In-Stat: More Consumers Want Wireless Bundle Option, But Carriers Hesitant

In-Stat reports that in a recent survey customers want wireless service including in bundles from their telcos. The survey fouind that "only 18% of current bundle subscribers have wireless, even though 31.6% actually wish to include wireless in their telecommunications bundle."

David Chamberlain at In-Stat said, "The struggle between wireless and wireline services for subscribers and revenue seems to contribute to a tension between regulated incumbent telephone companies and their affiliated unregulated wireless companies. As a result, the telcos may be missing an opportunity that the cable companies may soon be capitalizing on."

Highlights of the survey include:

  • Wireless has eroded the minutes of use for long distance and local calling. Respondents report a mean reduction in long distance minutes of 60% and local calling by 46.9%.
  • Even though half of the wireline local and long distance usage has been replaced by mobile phone use, 81% of consumers want to keep their fixed line services.
  • The survey also found that consumers still prefer easy-to-understand service bundling and shy away from complex converged wireless/wireline services.