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AT&T has started the commercial launch of its U-verse IPTV service, beginning today in San Antonio, reports Telephony.
The San Antonio launch marks the first IPTV commercial service by a major telco in the U.S. and is being carefully watched. The launch follows a field trial in San Antonio, AT&T's headquarters, beginning last December.
 According to Web reports, AT&T is planning to roll out service in Houston this summer as well. AT&T has said it will lauch U-verse in 15 to 20 markets this year where it had built out its Project Lightspeed fiber-to-the-node network.
Project Lightspeed is the SBC initiative to expand its fiber-optics network deeper into neighborhoods. That delivers AT&T's U-verse TV, voice and high-speed Internet access services.
A variety of service plans are available from $69/month - $114/month. U-verse includes 200 channels of IPTV, Spanish-language programming, video-on-demand, and an interactive program guide. Features exclusive to IPTV include faster channel-changes, a mosaic approach to picture-in-picture displays, and content searches via keywords such as actor names.
The service is launching with DVR capabilities on one receiver but will add whole-home DVR capabilities and High Definition TV later. The U-verse service includes IPTV and high-speed Internet access. AT&T is offering access at 1.5 Megabits per second; 3Mb/s and 6 Mb/s.
SBC has picked IP-TV settops from Scientific-Atlanta and Motorola for the telco's planned IP-TV system. Financial terms of the two contracts were not disclosed. The contracts give equal market opportunity to both vendors and continue through the end of 2008.
AT&T has been building a $4 billion fiber-optic network to offer television, Internet and telephone service over phone wires. TVs become IP-enabled via the IPTV receivers and can be used to display digital photos and other content. AT&T's settops will run Microsoft IP-TV software and allow users a variety of interactive functions like video recording and video on demand.
The fiber-to-the-node initiative will catapault SBC into a 13-state market for voice, video and data services and is the world's largest IP-TV rollout. Alcatel is primary supplier for Project Lightspeed infrastructure in a $1.7 billion deal. Within three years, about 18 million SBC households will have access to this network.
Wireless USB might link cameras, computers and mobile devices (or outdoor WiMAX clients). Just plug in the dongle. Alereon has WiMedia chipsets while Tzero Technologies, a startup, claims to deliver broadcast-quality video throughout the home. Wireless USB will get competition from 802.11n (MIMO). Wireless USB would likely be faster and cheaper. WiFi has the range advantage.
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