The San Jose Mercury News is reporting that AT&T will team up with San Mateo-based Akimbo to allow customers to download movies and shows over the Internet through AT&T's upcoming television service this summer.

The new AT&T service, called Homezone, is set to start in California and 12 other states by late summer. Homezone will combine several services:

• Live TV from the dish network

• DSL Internet service

• Major-studio movies downloadable from Movielink

• Older TV shows and movies downloadable from Akimbo

• Digital video recording

• Caller ID that appears on the television screen; and

• Photo-sharing and radio services from Yahoo.

The set-top box will be manufactured by San Jose-based 2Wire. AT&T did not release price information.

Many postings at this blog and others on this site cronicle Akimbo's developments. Click here to get a list of those postings.