Verizon Slates Video-Capable Wireless Service

Verizon Wireless today plans to launch V CAST, the U.S. market's first third-generation wireless (3G) broadband multimedia service.

Announced earlier this month at the Consumer Electronics Show, V CAST offers subscribers everything from clips of "The Daily Show with Jon Stewart" and news updates from NBC News to the "Spider-Man 2 3D: NY Rooftops game" and music videos from Warner Music Group artists like Simple Plan and My Chemical Romance.

The service is only available via new third-generation phones that run on the Verizon Wireless broadband EV-DO (Evolution-Data Optimized) 3G network, delivering wide-area wireless data and content. The V CAST coverage area, which mirrors Verizon Wireless' EV-DO network, is available in about 30 major metropolitan markets and covers more than 75 million people.

"This technology and this service is fundamentally changing the degree to which advertisers can reach consumers and deliver a quality message," said a Verizon Wireless spokesman.

As the cost of mobile phone calls continues to decline, telecoms are betting on 3G data services--such as video downloads and Web surfing--to maintain revenue. "The content providers involved and the speed at which a service can deliver that content is what's going to determine success in this burgeoning market," said Michael Zimbalist, president of the Online Publishers Association. "It's all about video right now."

Consumers can receive the V CAST Vpak service for a $15.00 monthly access fee, added to their Verizon Wireless calling plan--which includes unlimited access to roughly 300 daily updated video clips from leading news, sports, weather, and entertainment content providers. Basic short content is included in the plan, but application download fees still apply for 3D games, premium short content, and all other "Get It Now" applications.

The three phones on which users can access V CAST include LG Mobile Phones, Samsung Telecommunications America, and UTStarcom Personal Communications. The most affordable model currently available is the LG VX8000 for $199.99 after a $70.00 mail-in rebate with a two-year customer agreement. Samsung a890 will run for $249.99 after a $70 rebate, and the CDM8940 from UTStarcom Personal Communications is available for $229.99 after rebate.

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