A major survey of internet habits by the University of California at Los Angeles (UCLA) found that almost 75% of Americans were online, spending on average about 10 hours a week on the web.
The study found that main reason people started to use the internet was the desire for information, rather than entertainment.
But there was bad news for e-businesses, with little sign of growth in the number of people shopping online.
'End of the digital divide'
"Despite the dot.com meltdown, we found that the internet is more vigorous than ever," said Jeff Cole, director of UCLA's Centre for Communication Policy.
"A large majority of Americans go online, internet use continues to increase, and a growing number of non-users expect to go online in the next year.
"We really are seeing the end of the digital divide. It still exists and there's still a difference between those online and those off, but it's less every year."
But they found there had been a "tremendous growth of the internet as a medium for information," said Mr Cole.
While virtually all surfers viewed the internet as an important source of information, a third said that only half of what they saw on the internet was reliable.
Internet rivals TV
There was little change in the number of people using the web for entertainment, leading the researchers to question whether the internet had peaked as an entertainment source.
And as more people used the internet, they watched less television. The study found that most Americans spent on average about 10 hours online a week, and watched 4.5 hours per week less of television than non-users.
But while Americans were spending more time online, they were shopping less and were still very much worried about the privacy of personal information on the web.
The number of people shopping at internet sites was slightly down, with most expressing deep concern about using their credit cards on the web.
"The extent of the decline was somewhat surprising," said Mr Cole, explaining it was due to the general economic downturn, the collapse of many online merchants, higher prices and security concerns.
For the survey, UCLA researchers interviewed 2,006 internet users and non-users during May and June.
They are now planning a special report early next year to look at attitudes about the internet following the 11 September attacks, which led to a boom in online activity.