AFTER NUMEROUS DELAYS, AT&T Mobility is preparing to launch broadcast mobile TV service from MediaFLO USA Inc. in early February, according to sources close to the situation.
Leaked internal documents and sources indicate that AT&T Mobility is planning to launch the service with two exclusive channels. The service, which has been available to Verizon Wireless subscribers since March 2007, currently offers eight live, linear TV channels around the clock. However, it’s long been assumed that MediaFLO would work with carriers to help differentiate their offerings and provide opportunities for exclusive content.
“If you look at any of the advanced data services that carriers are always leading with . there’s always got to be a hook to standout,” said Eric Puterbaugh, director of client services at Nielsen. “The primary purpose is to get another customer.”
Bill Ho, a senior analyst at Current Analysis, also pointed to exclusive channels as AT&T Mobility’s obvious differentiator. “From what I understand Verizon Wireless will also have its exclusive channels,” he said.
Calling the initial eight channels – CBS Mobile, Comedy Central, ESPN Mobile TV, Fox Mobile, MTV, NBC News 2Go, NBC 2Go and Nickelodeon – the standard, Ho said exclusive channels enables the carriers to mix content that might not necessarily come from one content provider.
“You don’t have to have a dedicated content partner for a channel. You don’t have to commit to a big content provider,” he said.
“Like on-demand, you could also do exclusive viewings of concert events,” Ho said. “It’s ripe for stuff like that, the live events, if you will.” In addition, there’s room for carriers to complement their TV channel lineup with exclusive datacasting content, which MediaFLO plans to use to push personalized, real-time data feeds to a device.
AT&T Mobility originally said it would launch the service by the end of 2007, but fell back on that deadline and pushed it to sometime this quarter.
“From the standpoint of MediaFLO I think that it’s like video share . they’ve been saying it’s coming, it’s coming and then they’re late with it,” Ho said. “AT&T’s got to deliver. You can point to the video share that they’ve been promising – it’s missed several times.”
Both AT&T Mobility and MediaFLO, which is a subsidiary of Qualcomm Inc., declined to comment on the launch date, exclusive channels or devices expected for launch.
“When we are ready to make the announcement, we will,” an AT&T Mobility spokesman told RCR Wireless News.
Launch expected Feb. 5
However, sources say the service will launch Feb. 5 with an initial handset from LG Electronics Co. Ltd. LG’s Vu, or CU920, will be the first device to launch with MediaFLO on AT&T Mobility. The rather sleek device, which is similar to LG’s Prada handset, utilizes a touch screen and other trendy features. Pricing for the device is expected to be in the $200 to $250 range, but nothing is official at this point. AT&T Mobility has pushed the device’s launch date back numerous times, most recently at the Consumer Electronics Show, where LG had the device on display, but couldn’t disclose any more details about its future.
Perhaps AT&T Mobility was waiting to roll out its 3G footprint in more markets before launch, but it could also have been waiting for MediaFLO’s dedicated network to roll out to more markets. “Historically, AT&T has been catching up to Verizon and Sprint in terms of 3G footprint,” Ho said.
Coverage maps show that MediaFLO’s network covers 48 markets, but AT&T Mobility documents indicate that 53 markets covering 129 million people will be covered when the service launches on the nation’s largest carrier.
“The underlying FLO technology can support up to 20 24/7 linear channels, as well as a variety of other services, such as audio, that enable us to provide consumers with significantly more than 20 channels of multimedia content,” a MediaFLO spokeswoman told RCR Wireless News.
Many in the industry expect Qualcomm to go after more spectrum in the upcoming 700 MHz auction, specifically channel 56, which sits alongside spectrum MediaFLO uses for broadcast – channel 55. Indeed, Qualcomm has made its intentions official with the FCC, even hinting at potential content partners in live concerts, images and stock quotes.
“I expect that Qualcomm’s going to pull out all the stops to get channel 56,” Ho said, adding that the block is the only one up for bid that is one-way, which makes it ideal for broadcast service.
