Canadians ditch landlines for mobiles

Several million Canadians will have only cellphone service by the end of the year, as they increasingly replace their landline telephones with mobiles, reports CTV.

About one in seven households, or two million in total, will have just cellphone service by the end of 2011, according to research by the Convergence Consulting Group.

"This is happening because prices have come down so radically," explains Brahm Eiley, co-founder of the Toronto-based consulting firm.

According to Mobile Syrup, network carriers such as Rogers, Bell and Telus have either reduced monthly plans, or have offered up unlimited calling in some provinces. Carriers in Canada must prove their worth every day to customers, as competition is fierce, and it is only getting hotter with the upcoming 700MHz wireless spectrum auction.

The Canadian Wireless Telecommunications Association states there are over 24.5 million wireless subscribers on target to hit over 32 million by the end of 2014.

Convergence says the data usage trend will continue. Smartphone penetration in Canada will represent 39% of the Canadian subscribers by the end of 2011, and surge to 64% by the end of 2014.

The study also found that in the US, 31%, or almost one in three households, will be wireless by the end of 2011, states Vancouver Observer.