It's pretty common for most people in China to have access in some form or another. My inlaws live in rural Hubei and they often come online and talk to my wife on Skype, via a neighbour's computer.
I would still say that the majority would use the internet at a web cafe rather than at home, though, as it's still not very cheap - we paid 50 RMB (5 quid) a month, the average rural person earns about 500 a month. Imagine paying 10% of your salary for interweb, it's not really worth it, and the connection speeds suck.
There is a big difference between rural areas and the major cities. I didn't even use the internet at my in-laws because it was worse than 56k, loads of sites were blocked etc. Yet in Beijing I got really fast broadband, no download/upload limit and only a few sites blocked for 120 Kuai a month.



