March 20, 2009

Chit-chat may be a recession victim

As many as 60 million U.S. cell phone users are planning to cut back on services due to the prolonged economic recession, a research group said.

The New Millennium Research Council, based in Washington, said millions of Americans are on the verge of disconnecting expensive cell phone plans.

As many as 39 percent of cell phone customers or 60.3 million of them are likely to cut back their cell phones to save money, the report said.

Feature items, such as texting and sending e-mails by phone are also likely to take a hit in the economic downturn. Allen Hepner of the NMRC said the era of cell phone penny pinching is officially here.

The study found that two out of five cell phone users with extra features attached to their service contracts indicated they were very or somewhat likely to cut back on their contracts within six months if the economy did not improve.