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University of Wisconsin–Madison
Poverty-related issues in the news, from the Institute for Research on Poverty

Tag: Cellular phones

Cellphone-Only Households

Youth, mobility and poverty help drive cellphone-only status, By Sabrina Tavernise, April 20, 2011, New York Times: “It’s not quite the stuff of bragging rights, but Arkansas and Mississippi find themselves at the top of a new state ranking: They have the highest concentrations of people in the nation who have abandoned landlines in favor of cellular phones. At the other extreme? People in Rhode Island, Connecticut and New Jersey are still holding on to their landlines, and they have the lowest concentrations of people whose homes use only cellphones. The study, released Wednesday, was part of an annual survey conducted by the National Center for Health Statistics. Information from interviews was blended with census data to draw a map of cellular-only use by state. Its findings reflect patterns of consumer behavior that are driven by age, mobility and, in a strange twist, poverty. According to Stephen Blumberg, the researcher who conducted the study, nearly 40 percent of all adults living in poverty use only cellphones, compared with about 21 percent of adults with higher incomes…”

Access to Financial Services for the Poor

Gates Foundation pledges $500 million to help the poor save money, By Kim Murphy, Los Angeles Times: “The Bill & Melinda Gates Foundation pledged $500 million Tuesday to help create new banking systems that will reach into the world’s most impoverished corners and allow families earning $2 a day or less to begin saving money. After years of promoting microcredit borrowing to help impoverished farmers and bottom-of-the-rung entrepreneurs expand their business opportunities, foundation leaders said it was increasingly apparent that saving, not just credit, is crucial to helping poor families weather crises, pay for schooling and make small investments to expand their incomes. ‘Loans for the poor in some ways may be more intuitive for people to understand, and I think people naturally understand that poor people often don’t have access to capital or to credit or to cash. But I think people don’t often as easily grasp the concept that the poor actually need to save,’ Melinda French Gates, co-chair of the foundation, said at a forum here on the swiftly expanding global financial sector aimed at serving millions of poor…”

Telecommunications in Developing Nations

Nokia taking a rural road to growth, By Kevin O’Brien, November 1, 2010, New York Times: “On Saturday at dawn, hundreds of farmers near Jhansi, an agricultural center in central India, received a succinct but potent text message on their cellphones: the current average wholesale price for 100 kilograms of tomatoes was 600 rupees. In a country where just 7 percent of the population have access to the Internet, such real-time market data is so valuable that the farmers are willing to pay $1.35 a month for the information. What is unusual about the service is the company selling it: Nokia, the Finnish cellphone leader, which unlike its rivals – Samsung, LG, Apple, Research In Motion and Sony Ericsson – is leveraging its size to focus on some of the world’s poorest consumers. Since 2009, 6.3 million people have signed up to pay Nokia for commodity data in India, China and Indonesia. On Tuesday, Nokia plans to announce it is expanding the program, called Life Tools, part of its Ovi mobile services business, to Nigeria…”