Starting May 4, AT&T’s Mobile TV service will start offering customers television shows live on their mobile phones. AT&T collaborated with MediaFLO USA Inc., a subsidiary of Qualcomm Incorporated, to bring “an unmatched mobile television experience” to their customers. However, the announcement came one year after Verizon Wireless began offering similar services.

For the AT&T Mobile TV, the company announced the availability of two handsets: Vu from LG and Access from Samsung. The first costs $399.99, while Access is $299.99, but AT&T said it will offer customers $100 mail-in rebate for the handsets. A two-year service agreement is required.

"AT&T Mobile TV is more than a new entertainment service — it is an experience that will significantly change and enhance our customers' mobile lifestyles," said Mark Collins, vice president of Consumer Data for AT&T's wireless unit, in a statement. "With this in mind, it was imperative that we launch this revolutionary service on devices that were optimal for the best mobile viewing experience imaginable,” he continued.

The service will include TV-shows from networks such as CBS Mobile, ESPN Mobile, FOX Mobile, NBC 2Go, NBC News 2Go, MTV Networks’ Comedy Central, MTV and Nickelodeon, as well as PIX and CNN Mobile Live, which are both AT&T exclusive channels on MediaFLO USA’s FLO TV service.

"Our research revealed that news and movies were the two most popular program categories consumers wanted to watch on their mobile phones. We have exceeded their expectations with AT&T Mobile TV," said Collins.

However, an M:Metrics survey on 31,000 people revealed that only 5.9 percent of mobile users watched video on their mobile phone one a month during December, January and February, and less that 1 percent watched video on their mobile phone daily, Reuter reports.

But AT&T remains optimistic, offering customers over 150 simulcast and/or time-shifted programs, such as “CSI:NY,” “The Colbert Show” or “How I Met Your Mother,” as well as live sports events, including LIVE NHL Stanley Cup Playoff or LIVE Big 12 College Baseball.