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Workers Find Mobile Phones More Important Than Wallets

Posted on: Wednesday, 14 May 2008, 13:10 CDT

A new survey conducted by market research firm IDC and sponsored by Nortel Networks Corp has found that more than one in three workers would prefer their mobile phone to their wallet, laptop, keys or digital music player if they had to leave home and could take only one item with them.

The survey polled 2,367 people, 38 percent of whom chose their mobile phones, while less than 30 percent chose their wallet. In sponsoring the poll, Nortel wanted to determine the number of  “hyperconnected” workers, which the survey defined as those who use at least seven devices for work and personal access, and at least nine applications such as text messaging, instant messaging or web conferencing.

The survey found that 16% of workers meet that definition, and the number is growing
.  

Among the 17 countries included in the survey, China had the highest percentage of hyperconnected respondents, while Canada and the United Arab Emirates had the fewest.

Hyperconnected workers were followed by a larger subset designated as "increasingly connected," which included 36 percent of respondents. These workers use at four or more devices and at least six applications.

The survey forecasts that over the next five years the number of hyperconnected workers will likely grow to 40 percent, which could be good news for Toronto-based Nortel, North America’s largest manufacturer of telecom equipment. The company has bet heavily on the expectation that demand for its products will surge as more devices become connected to the Internet, driving bandwidth and network demand.

However, optimism for a growing number of new devices going online has yet to translate into richer profits for Nortel, which has struggled and cut thousands of jobs since the bursting of the tech bubble in 2001.  

The company forecasts revenue growth in the low single digits for the year, and announced 2,100 new job cuts in February.  It believes it could be years before some of its newer technologies find big markets. Meanwhile, fierce competition from low-cost Asian suppliers such as Huawei Technologies threaten Nortel’s market share.  
   
In March, shares of Nortel stock slumped to C$6.45. After adjusting for a late 2006 stock consolidation, it was a low not seen since 1981.  Nortel shares were down 30 Canadian cents Monday to C$7.90 on the Toronto Stock Exchange.

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On the Net:

IDC

Nortel Networks

Source: redOrbit Staff and Wire Reports

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