AT&T Says Mobile TV Is Ready For Primetime

This week, the communications giant announced the launch of AT&T Mobile TV with FLO, a mobile television service that offers live programming. Ready to hit handhelds in May, the service is the product of a partnership with MediaFLO USA, a wholly owned subsidiary of Qualcomm. AT&T is clicking on mobile TV to generate revenue from services other than phone calls.

While the service is nearly two months away -- and nearly four months later than promised -- AT&T said the mobile TV service will start on two new exclusive handsets, the LG Vu and the Samsung Access. AT&T Mobile TV will also feature two channels exclusive to the service, but AT&T is keeping the focus of those channels under tighter wraps than the next plot twist on Lost.

The price of the mobile TV services was also not revealed, but AT&T said it will feature full-length television content and sporting events from top networks, such brands like CBS Mobile, Comedy Central, ESPN Mobile TV, Fox Mobile, MTV, NBC 2Go, NBC News2Go and Nickelodeon.

Mark Collins, vice president of consumer data for AT&T's wireless unit, said the new entertainment offering is bringing a strong lineup of sports, news and primetime shows to wireless devices. And the two AT&T-only channels sweeten the pot, he added.

AT&T spokesman Mark Siegel told Reuters that AT&T waited to offer the service because it is "a brand new service on a brand new network, and two brand new devices." He added that the pricing model for the mobile TV service will be revealed closer to the service launch.

But AT&T's lateness to the market may work against it. Chief rival Verizon Wireless and Vodaphone began offering MediaFLO, which is broadcast live over the Qualcomm network, about a year ago.

Stanford Group analyst Michael Nelson told Reuters that mobile television is taking longer than expected to take off because of weaker-than-expected consumer demand and because the services available don't blanket the entire country or work on all devices.

"There's still a question whether consumers are ready to watch a significant amount of TV on their handsets," he said.

Qualcomm built the network to kick start the market for live television and sells licenses and chips for the phones offering high-speed Web links. Gina Lombardi, division head of MediaFLO USA, the Qualcomm subsidiary offering the service with AT&T, told Reuters that by the time AT&T Mobile TV launches in May it will be available in 55 markets and to 130 million potential customers. Lombardi said MediaFLO is already in Los Angeles, New York, Chicago, Dallas, Orlando and Philadelphia and the subscriber base should improve as MediaFLO betters coverage in some markets, including New York. She added that once AT&T launches its service and carriers sell more phones that support the service, subscription numbers should rise.

Additionally, Qualcomm hopes to expand its service to markets that cover more than 200 million potential consumers next February, when television companies have to vacate the wireless airwaves that they own.

Along with announcing the service will be ready to rock in May, AT&T upped the ante with two new devices.

The LG Vu, a sleek new device from LG Electronics MobileComm USA, is designed especially for TV viewing on the go. The device also enables viewing of the Web, pictures and video on its large interactive touch screen. It also features a music player, a 2.0 megapixel camera and Bluetooth wireless capabilities.

The Samsung Access, the latest devices from Samsung Telecommunications America, is equally as stylish, AT&T said. The handset has a large landscape display to deliver a rich viewing experience and an internal antenna to increase reception. The Access adds other multimedia capabilities too, like a camera, external stereo speakers, stereo Bluetooth, AT&T Music, CV and AT&T Mobile TV.

AT&T said more info on the mobile TV offering will come soon. Stay tuned.