According to "The Communications Market 2004", consumers have increased the amount of time spent on-line eight-fold in the period between 1999 and 2003 – up from an average of two hours a week on a dial-up connection to around 16 hours per week on broadband.
Over the same period consumers have increased their use of mobile phones from 10 minutes a week to 27 minutes per week, and text messages have gone up from one a week to 15 per week.
Television viewing has only increased by 2%, while radio listening has gone up by 6%, said the report.
UK consumers are willing to spend more money to pay for media and communications services – accounting for 4% of household spending, up from 2.9% in 1999 – and more and more people are going digital, according to the report. It seems that 53% of households have at least one digitally enabled TV set, while broadband is available to 88.7% of households.
The use of broadband is now growing by about 50,000 new subscribers per week, says Ofcom, bringing the total number of UK subscribers in line with those in France and Germany. Ofcom estimates that the total number of subscribers should break the five million mark in mid-September.
The report found that 86% of UK households now have at least one mobile phone and 21% use their mobile as their main way of making and receiving calls – as compared to 17% in 2002.
This growth in digital take up and use appears to have had an effect on the revenue sources for the communications industry.
According to the report, for the first time ever in the UK the total amount of revenue raised by the TV industry through subscription has exceeded that raised from advertising. Similarly in the telecoms sector, consumer spending on mobile services has now exceeded that spent over fixed line phones.
"Our analysis shows that consumers are setting aside more of both their time and their money for media and communications services. As a result, the market is growing, with new services and innovation at the heart of its development," said Ed Richards, Ofcom's Senior Partner, Strategy and Market Developments.
"The report also reveals the extent to which the UK is becoming a digital nation, with widespread availability of digital networks of all kinds. This is to be welcomed; the advance of digital technology brings increased consumer choice and greater innovation, through broadband access, digital television, music downloads, digital radio and more," he added.