Report sees more U.S. households using VoIP phone service

April 4, 2007
April 4, 2007 -- In-stat reports that 9% of U.S. households now use a VoIP telephone service, up from 8% at the end of Q3 of '06.

April 4, 2007 -- Cable operators and Vonage are driving continuing growth in the US residential Voice over Internet Protocol (VoIP) telephone market, according to recent reporting from the high-tech research firm In-Stat.

According to data from the firm's US Residential VoIP Market Tracker service, more than 10.6 million US households now have at least one active VoIP user, up from approximately 9 million households at the end of Q3 of 2006.

The emergence of the cable operators as a dominant market force seems to have slowed the growth of the client-based VoIP market, says the firm, with only Skype showing gains in this segment during the fourth quarter.

The firm's service utilizes a combination of end-user research and market analysis to estimate usage and market share among all of the major service providers, network-based providers such as the cable operators, analog-telephone adapter (ATA)-based services providers such as Vonage and SunRocket, and client-based providers such as Skype, on an ongoing basis.

Recent reports from the service also reveal that:

-- More than 61% of active residential VoIP users reported that they had discontinued or replaced a traditional (non-VoIP) phone service when they got their VoIP service, including a whopping 76% of those who use only a network/ATA-based service like those offered by the cable companies or Vonage.

-- Skype's dominance of the client-based VoIP market has grown as its major competitors in this segment lost active users during the fourth quarter while it continued to show strong growth.

-- The ability to bypass international tolls continues to be a big driver of client-based VoIP services, with users of client-based VoIP services reporting that 52% of their VoIP calls are international long distance while network/ATA-based VoIP users report only 6% of their calls are international long distance.

-- The percentage of residential VoIP users who report that they use their service for business calls either in part or exclusively continues to rise with 51% reporting that they use the service for both business and personal calls and 4% reporting they use it exclusively for business calls.

The reports, "US Residential Voice-Over IP Market Dynamics and Market Tracker: Market Summary Q4 2006," and "US Residential Voice-Over IP Market Dynamics and Market Tracker: Comprehensive Results and Analysis Q4 2006" track quarterly residential usage of both network/ATA-based and client-based VoIP services, including subscribers, users, households, and market share through the fourth quarter of 2006.

For additional information on the reports or the service, click here.

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