Mobility boom helps already-thriving UK comms sector

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Users' appetite for mobile communication, both telephony and internet connectivity, is continuing to grow, enabling them to keep in touch with work and play from almost anywhere and at a much lower cost than before, according to Ofcom's annual Communications Market Report 2007 which was published today.

UK users are becoming more and more dependent on mobile phones, with more than double the volume of connections (69.7 million) compared to landline installations (33.6 million) in the last year and mobile call minutes according for a third of total call volumes, according to the communications watchdog's research.

Almost one in 10 UK households are now solely reliant on mobile phones for their telephony needs, while just seven per cent are completely reliant on landline technology.

Users are also embracing mobile devices for much more than just making and receiving calls, such as photography, gaming and texting, with the latter activity being up 20 per cent year-on-year, according to the research.

Bundled services are also proving popular with bundle uptake being embraced by 40 per cent of the population as of April this year, an increase of one third in the preceding 12 months.

All of Ofcom's finding point to a thriving communications industry - currently work some £50 billion in the UK - where users are now spending more than two days a week (50 hours) on the internet, using the phone, listening to the radio or watching television.

Daily web usage is up 158 per cent compared with five years ago and wireless connectivity is making it much easier for people to browse the internet on the move, according to Ofcom. Indeed, more than 11 per cent of mobile phones connect to a 3G network - an increase of 70 per cent compared with 2005's figures - while the number of hotspots around the country also continues to grow.

By April this year, more than half (53 per cent) of households in the UK had a broadband connection, with increased market competition helping to drive down prices and give users more for their money.

Costs are also coming down across the board, according to Ofcom's research, with the amount the average UK household spends on all communications services, falling from £94.03 in 2005 to £92.65 in 2007.

"This comprehensive survey shows how our communications sector continues to develop at a fast-pace, with consumers of all ages using a range of devices to find the services they want at lower prices," said Peter Phillips, strategy and market developments partner at Ofcom.

"Industry innovation and competition continue to deliver significant benefits to the UK economy and consumers."

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