TELECOM Digest OnLine - Sorted: Middle Class Goes Broadband As Price Falls

Middle Class Goes Broadband As Price Falls

Monty Solomon (
Mon, 29 May 2006 07:45:46 -0400

By PETER SVENSSON AP Technology Writer

NEW YORK (AP) -- Middle- and working-class Americans signed up for
high-speed Internet access in record numbers in the past year,
apparently lured by a price war among phone companies.

Broadband adoption increased 59 percent from March last year to March
2006 among U.S. households with incomes between $30,000 and $50,000,
according to a survey to be released Monday by the Pew Internet and
American Life Project.

It increased 40 percent in households making less than $30,000 a
year. Among blacks, it increased 121 percent, according to the study.

Middle- and lower-income households still lag higher-income households
when it comes to broadband adoption. Among the $30,000-$50,000
households, 43 percent now have broadband, compared to 68 percent for
those making more than $75,000.

Overall, 42 percent of adult Americans, or 84 million people, have
broadband, compared to 30 percent a year ago.

Phone companies last year started slashing prices for broadband
service that uses regular phone line to establish a digital subscriber
line, or DSL. Both Verizon Communications Inc. and AT&T
Inc. introduced $14.99 per month offers.


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