The iPhone may be more than a cool mobile device, especially in hard economic times. Recent research from comScore reveals that one of the fastest growing demographic groups for iPhone purchases comes from lower income brackets. These consumers from the $25K – $50K income bracket may see the iPhone as a capable enough tool for the majority of their Internet and entertainment needs, and may actually cancel these services from other providers to save money in these hard economic times. Jen Wu, senior analyst with comScore, and the report’s author commented that “… one actually realizes cost savings when the device is used in lieu of multiple digital devices and services, transforming the iPhone from a luxury item to a practical communication and entertainment tool.” Should this hypothesis indeed be true, it may accelerate wireline Internet/Broadband replacement, and may even impact entertainment subscriptions.
