Cutting the cord

People who change residences are more likely to switch their phone service from a traditional landline to VoIP or wireless-only service. In a survey of more than 7,000 US households, communications research company Telephia found that nearly half of all households who moved within the past year had cut the cord … switching to a “nontraditional” phone option for the home. Of those who moved within the last year, only 51% stayed with an old-school landline carrier, compared with 73% of non-movers. A surprising 25% of recent movers use a mobile as their sole phone service, compared to only 9% of those who hadn’t moved recently. Recent movers tend to be younger, more early-adopting crowd. They may have a lower overall household income than those who have not moved recently, Telephia found, but they also tend to spend more on communication and entertainment services. Another big factor: It’s not surprising to consider new telephony options when moving, because all household services enter a state of flux before settling on something new. VoIP and mobile-only solutions tend to be cheaper than landline options. But while price alone doesn’t seem to be enough to make most customers switch services, those in the throes of a move are often more motivated to go with cheaper services. Ars Technica 1 May 2007