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Growing Internet popularity driving up PC sales

MUMBAI, JUNE 15: The Internet will be one of the biggest drivers for home computer sales in the country. A survey by leading research age...

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MUMBAI, JUNE 15: The Internet will be one of the biggest drivers for home computer sales in the country. A survey by leading research agency International Data Corporation found there was a high-level of awareness about the Internet and its utility although only nine per cent of households owning PCs had Internet access.

Awareness about Internet is evident from the fact that 37 per cent of non-users have indicated they plan on getting Internet access in the future. More than half the households which planned on buying a PC in the near future also wanted an Internet connection, according to the survey. Out of these, about 23 per cent plan to get it along their PC purchase.

A number of PC vendors, including leading domestic player Zenith Computers, have identified the Internet as the single most important reason for home PC purchases and have started marketing PCs bundled with Internet accounts. These Internet PCs come with a modem and an Internet account so the user can connect instantaneously to the net.More recently, multinational vendor Hewlett-Packard announced its Pavilion range of home PCs would come with a free Satyam Internet account.

The opening up of the Internet sector has also boosted the number of Internet connections in the country, apart from the growing importance of the Internet worldwide. Net connections have grown at a scorching 83 per cent since Internet services were privatised in November 1998.

The IDC survey revealed that the usage of Internet is not restricted to a single user in a household. About 90 per cent of households indicated that more than one member of the family used the Internet at home. This could be attributed to different applications and purposes of Internet use, said the survey.

"It has been observed that almost equal proportion of adult son, daughter and male head of the household emerged as the heaviest users of Internet,” the survey said. Teenagers constituted nearly nine per cent of the user base making them the heaviest Internet users.

The near universalpresence of cable TV in homes is also significant as technology is now available for providing Internet through cable, IDC said. Nearly all national Internet service providers (ISPs) have announced they would be tying up with cable operators to increase their subscriber base. Cable companies like Zee and IndusInd have also taken Internet licences and are conducting trails to offer Internet through their networks.

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According to the survey, communication was the primary reason for which the Internet was used (97 per cent). The second most important reason was entertainment/recreation (63 per cent). Nearly half the Internet homes also used the web as as a medium for education. The survey predicted, entertainment would fuel higher Internet usage in homes.

Online shopping, which is used by around one-fifth of Internet homes, is expected to grow significantly in the days to come.

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