May 2009: Placeshifting technology developer Sling Media finally issues the long-awaited iPhone edition of its SlingPlayer Mobile video application, but the release version of the app does not include 3G support--operator partner AT&T takes the fall for the resulting controversy, contending 3G streaming would consume too much network capacity. "Slingbox, which would use large amounts of wireless network capacity, could create congestion and potentially prevent other customers from using the network," AT&T says. "Applications like this, which redirect a TV signal to a personal computer, are specifically prohibited under our terms of service." However, Sling notes the service is WiFi-only at Apple's request.
The controversy erupts again weeks later when Major League Baseball's official website MLB.com announces it will add live game coverage to its popular At Bat mobile application for iPhone--streaming content is optimized for both WiFi and 3G networks, with MLB.com telling The New York Times that its servers will detect the strength of the device's connection and adapt the quality of the video accordingly. Nonprofit media reform organization Free Press is challenging AT&T's decision to allow the At Bat application to stream mobile video after prohibiting 3G support for SlingPlayer Mobile--Free Press policy director Ben Scott contends that AT&T is effectively playing favorites by denying Sling Media the same right it is now extending to MLB.com. "We are troubled that carriers like AT&T are playing gatekeeper to the next generation of wireless Internet applications. No Internet service provider should be allowed to pick winners and losers online."