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Mobile Phone Displacement of Landline

Between 23 percent and 37 percent of US wireless subscribers will use a wireless phone as their primary telephone by 2009, reports In-Stat. About 9.4 percent of US wireless subscribers already use a wireless phone as their primary phone, and compared with earlier surveys, fewer consumers feel that a wired phone is necessary.

"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," says David Chamberlain, In-Stat analyst. "Wireless carriers can stimulate substitution by continuing to attract customers to advanced wireless features and educating them about availability of number portability."

In-Stat found the following:

- Consumers who are most likely to consider replacing their landline phone with wireless are those who are already heavy wireless users. Demographics do not offer much insight into the likelihood of wireless substitution.
- Among those with a wireless and landline phone, resistance to wireless substitution has dropped dramatically since In-Stat's 2003 survey.
- Barriers to landline replacement, particularly in-building coverage and perceived inconvenience (such as losing DSL or having to change the phone number), are resolvable with other technologies, continued network build-out, or consumer education.

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