Ustream Launches Recording App for iPhone, But It Can’t Do Live

Live video companies have struggled for the last year to get Apple and AT&T to approve their iPhone apps. Yes, it would hog precious bandwidth, but mobile live video is very cool — and it’s already available on Nokia and other phones — though it’s yet to be allowed on the popular iPhone platform.

Past generations of iPhones could actually support video capture, but only after the user jailbroke the phone and added a video encoder. Now that the new iPhone 3GS supports video out-of-the-box, many assumed Apple and AT&T would let live video streamers Qik, Ustream and the gang on board. But so far that hasn’t happened.

Today, Ustream has finally managed to get a recording app approved — but it’s still completely hamstrung, because it only records to the device, and then sends completed videos to Ustream, Twitter, YouTube, Facebook or Ustream on Facebook. That’s a nice enough syndication service, but Ustream is a live site — that’s what they do.