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High-Speed Internet Access A Boon To Business – Study

An overwhelming number of small business owners consider broadband Internet access a significant, if
not critical, resource, according to a study by technology consultancy the Yankee Group.

By Michael Bartlett, Newsbytes

The study said 90 percent of 550 small businesses that use SBC’s digital subscriber line (DSL) service
said gains from increased productivity meet or exceed the monthly cost of the service.

Michael Lauricella, an analyst with
the Yankee Group who specializes in
small and medium business
communications, told Newsbytes the
survey respondents said their
businesses were very much in need of
high-speed service, and it was having
a tremendous impact.

"Overall, the impression was very
positive," he said. "People described
the service as ‘critical,’ said they
could not do without it, and said it
delivered a positive return on
investment."

One reason for the popularity of DSL
service is price. Lauricella said a
low-end dedicated T-1 line would
cost a business $750 a month,
whereas comparable data-only DSL
service is roughly $300 per month.

One of the most frequently used capabilities of high-speed Internet access is sending or receiving e-mail with large attachments.
Eighty-three percent of study respondents said they used this function.

"We’re all still desperately looking for the ‘killer app,’ but e-mail is it," said Lauricella. "The ability to send large files and
attachments was something small businesses probably couldn’t do with dial-up."

"People are evaluating things like Web conferencing to improve client interaction, but e-mail facilitates that very well," he
added.

Eighty-eight percent of those surveyed said they use high-speed access to conduct online research, 78 percent said they
purchase supplies and 69 percent book travel reservations.

"Online research includes anything that will benefit their company," said Lauricella. "That includes their products, competitor’s
products or following the news."

The study found businesses that had used high-speed access for two years or more were more likely to use the Internet for
advanced capabilities such as distance learning, collaborating on electronic documents, or purchasing goods and services.

The Yankee Group is at http://www.yankeegroup.com .

Reported by Newsbytes.com, http://www.newsbytes.com .

http://www.newsbytes.com/news/02/176491.html

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