Americans Cut Back On Cell Phones, Cable TV Before Cutting Web Access: Report

In these tough economic times, Americans are cutting back on their spending for cable television and even their cell phone service before canceling or cutting back on their use of broadband Internet access, according to a new report.

Only 9 percent of broadband Internet users say they have canceled or cut back on their Internet service in the last 12 months, according to the report from the Pew Research Center's Internet & American Life Project.

That's in contrast to the 22 percent that cut back or canceled their cable TV service during that same time period and 22 percent that have canceled or cut back on their cell phone service.

The findings are based on a survey of 2,253 Americans conducted in April.

"Broadband adoption appears to have been largely immune to the effects of the current economic recession," the report said. "In the April survey, more than twice as many respondents said they had cut back or canceled a cell phone plan or cable TV service than said the same about their Internet service."

One possible explanation is that unemployed workers, while cutting such expenses as cable TV, retained their Internet service as a critical tool for finding a new job.

The report noted that because 85 percent of adults have cell phone service, up from 77 percent at the end of 2007, it seemed more likely that cell phone users were economizing on service plans rather than cutting service altogether.

The report provides a snapshot of the increasing use of broadband Internet access in America. About 63 percent of adult Americans are using broadband at home, up from 55 percent in May 2008, for example.

The report also shows increased use of broadband Internet access among specific segments of the population, including senior citizens age 65 or older (30 percent vs. 19 percent in May 2008), rural Americans (46 percent now vs. 38 percent a year ago) and households with less than $20,000 in annual income (now 35 percent, up from 25 percent).

The survey also found that the average monthly bill for broadband service increased to $39 today from $34.50 in May 2008.