Despite front-page claims on today's Telegraph, BT is not launching an iPod killer.

BT is hooking up with Virgin Mobile to give Virgin customers access to live digital TV through their mobile phones. Trial customers will be able to use a programme guide to see what's on, set alerts to remind them when a programme is about to start, and ultimately record programmes to watch later.

While the telecoms giant says it hopes to launch an iTunes-style music download store for mobiles next year it does not envisage setting up a rival to existing online download services. A BT spokeswoman told BBC: "Because it's a broadcast service, it's only going to make sense to distribute the most popular tracks such as top 10s."

"That service would be dependant on licensing agreements - digital rights management, storage, battery life. There's a lot of things that need to be ironed out," the spokesperson told Silicon.

Participants in the BT UK Livetime trial get access to Sky news services, a music channel and 50 digital radio stations.