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AT&T Launches Video Sharing Service, But Not For The iPhone

AT&T CEO Randall Stephenson yesterday at the NXTcomm conference showed off AT&T's new video sharing service. The "first-ever service" in the U.S. allows users to share live video over their cell phones while talking. While this is cool, guess what, it won't work on the iPhone. And this video service is way too expensive.

Let's take a look at AT&T's new video service:

It works only on the company's 3G, or third-generation, wireless network and requires a Video Share-capable phone, AT&T said. The company said it will offer Video Share service packs for $4.99 and $9.99 a month, depending on included minutes. Without a plan, the service costs 35 cents a minute.

New AT&T Chairman and CEO Randall Stephenson told a telecommunications industry trade show in Chicago that the new service has the potential to expand rapidly beyond wireless-to-wireless.

So you have to buy a special handset -- but it doesn't work on the iPhone because the iPhone doesn't have 3G. and you have to pay $4.99 a month of $9.99 a month (or $0.35 a minute) in addition to your normal 3G data plan. While the idea is cool, this thing is priced to fail.

During the same keynote where he launched this new video sharing service, Stephenson kept talking about how he sees video as the future of his company. I too share his enthusiasm, but AT&T needs to do a few things better. First, they need to launch new services like this at more reasonable prices. And, more importantly, they need better 3G coverage with cool new devices that take advantage of it.

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