Updated: AT&T Decides Net Neutrality Won't Work for Wireless

Update April 3: Five days after the terms of service were changed, and four days after the first outcry in the online community, AT&T has retracted the worrisome language in its TOS that forbid third-party video transfers over its cellular network. Today the carrier issued the following statement: “The language added on March 30 to AT&T’s wireless data service Terms and Conditions was done in error. It was brought to our attention and we have since removed it. We apologize for any inconvenience this may have caused.” [original story follows]

Along with a new mobile data pricing plan to go with its subsidized netbooks, AT&T (s T) has also changed its terms of service in a way that appears to limit video on its wireless network. As the Public Knowledge Policy Blog points out, the AT&T Wireless terms of service now explicitly prohibit “downloading movies using P2P file sharing services, customer initiated redirection of television or other video or audio signals via any technology from a fixed location to a mobile device, web broadcasting, and/or for the operation of servers, telemetry devices and/or Supervisory Control and Data Acquisition devices.” NewTeeVee has some good analysis of what this could mean for online video companies and consumers.