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CommentMonday, March 9, 2009

Consumer Spending On Mobile And Broadband To Decrease

15% to cut back

U.S. consumer spending on broadband, mobile services and subscription TV will remain the same for most people, but 15 percent are expected to cut back, according to a new survey by In-Stat.

The company estimates that consumer spending across these three segments could see an almost $5 billion decrease during the next 12 months. Despite this, In-Stat's survey reveals that broadband service is among the most vital parts of consumers' lives. Over 66 million consumers across demographic categories are using the Internet while they watch TV.

Gerry Kaufhold
Gerry Kaufhold

Consumer multitasking while watching TV varies widely depending on demographic characteristics.

The largest decrease in spending on mobile, broadband and subscription TV services will come from households with income below $35,000.

"Some male age groups had 40% to 50% of respondents using a PC while watching TV, and about 30% of females under the age of 40 are also using a PC while watching TV," said Gerry Kaufhold, In-Stat analyst.

"New approaches using online web portals synchronized to a TV program will continue to develop, because they present no new costs. Cable TV operators also face increasing competition from lightweight services that deliver popular Cable programming, supplemented by content delivered via broadband."

 

About the author:
Mike is a staff writer for WebProNews.

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