SeeMeTV design company Yospace has held talks with each of the major UK networks and is understood to be on the verge of launching a SeeMeTV-style service with O2.
3 claims that SeeMeTV has proved popular with users since its launch in October with between one and two million downloads a month across Europe.
3 customers can submit a video clip to the site and visitors can browse and download the videos to their handset at a cost of 10p per clip.
The service credits the user who submitted the clip with 1p for every download. Over £100000 has been earned by users since the launch claimed Yospace.
Both Yospace and O2 refused to comment on the deal.

The group will fetch up to £1.1 billion from a consortium of two venture capitalists Bain Capital and Doughty Hanson.
Under the terms of the proposed acquisition Bain Capital will take on the Caudwell Group´s retail estate including nearly 400 Phones 4U outlets and its SME retail arm 4U Business which is in the process of being stripped down and integrated into Phones 4U in order to stem heavy losses.
Doughty Hanson will acquire the Caudwell Group´s two distribution arms 20:20 Logistics and Dextra/4U which are being restructured and aligned under the guidance of 20:20 group managing director Mark Ryan.
Doughty Hanson is also expected to take on the Caudwell Group´s repair company MPRC and recruitment agent Cornerstone Resourcing.
All parties concerned declined to comment.

The reshuffle follows the exit of director of indirect sales Simon Ainslie who will replace Mat Wolontis as UK managing director at Nokia.
T-Mobile denied that the realignment is because it is shifting its focus towards direct sales.
"It has nothing to do with the position of the independent channel" said a spokesman.
Ballantyne joined T-Mobile in October 2003 and currently heads up T-Mobile´s direct sales channels including its retail estate telesales and online activities.
T-Mobile delivered an ultimatum to The Carphone Warehouse Phones 4U and The Link earlier this month to sign up to new terms and conditions which include a 20 per cent cut in commissions from July 1 confirmation that they will deal only in T-Mobile-approved stock and new targets on churn.
T-Mobile refused to comment on the initiative.
It is awaiting the response of the high street multiples due by July 1 and also rival networks.
It is also cutting back the 25 per cent discount on its 18- and 24-month Business 1 contracts.
See Sharp End page 18

It is understood Ainslie has agreed to join Nokia at the end of July. Wolontis who has held the position of managing director since February 2004 and been with Nokia for over 12 years will take a senior European role within Nokia.
Nokia and T-Mobile declined to comment on the move but speculation last week suggested that T-Mobile UK managing director Jim Hyde might look to the US to replace Ainslie.
Terry Hayes vice-president of indirect sales and operations at T-Mobiles US business and a former colleague of Hydes has been tipped as a possible replacement.
Former Orange UK sales director Stuart Henry counted himself out of the running but admitted he might return to the mobile phone industry. Henry has been on sabbatical for six weeks following a stint at experience company Red Letter Days. He has been tipped for a role at The Carphone Warehouse but refused to comment.

The Internet domain is intended to create web sites specifically for viewing over mobile handsets. To use the .mobi domain companies must satisfy the registrar that their site is compatible with as many handsets as possible. So far 4000 companies have registered .mobi sites.
Top brands include easyGroup Virgin Mobile all five terrestrial channels BSkyB EMI Marie Claire and M&S.
To prevent cybersquatters only trademarked companies can apply for a .mobi domain until August 21. After this the registration process will be open to a general landrush´.

The proposal is outlined in a letter to shareholders and is thought to have angered many key investors who have been disappointed with the company´s performance.
Vodafone refused to comment however and said full details would be published in the company´s annual report in mid-June.
See Business Watch page 16

Scottish dealership Telepoint International last week contacted mobile phone dealers across the country to propose the formation of a new independent dealers association. Telepoint director James Hinchley who has employed two extra staff to canvass dealers said he had received positive responses from more than 200 mobile phone retailers in less than a week.
Hinchley said: "Many small dealers trying to influence the policies of the main networks separately is futile. We want to set up an association of independent retailers whose united voice will carry a lot more weight. We have to ask ourselves are the days of the small independent dealer numbered? The answer is yes if we dont stand together to be counted."
Hinchley believes the networks are poaching customers from independent dealers and will erode dealers customer databases to the point that they are worthless if action is not taken. 3 is now contacting customers two months before their contracts expire and upgrading them direct he said.
In a letter to retailers Hinchley said: "Loyalty is a one-way street. Sure this is a cut-throat business but avoiding paying commission and creating clawback charges by pinching customers from small retailers is immoral and despicable.
"We propose to form an Association of Independent Mobile Dealers to convey our grievances to the networks and demand an end to their dirty practices. With sufficient support the trump card we hold is the threat to boycott networks that dont play fair."

Hurring who has been at the company for more than 15 years is said to be leaving because of management differences with Kyle Whitehill Vodafone UKs enterprise business unit director according to sources close to the situation.
A Vodafone spokeswoman denied reports of strife in the department however. She said: "Richard Hurring is leaving the company because he has been offered a job with creative technical agency Marvellous Mobile."
His departure follows the surprise exit of Vodafone director of enterprise sales Chris Huggett last month who was also believed to have clashed with Whitehill.
Hurrings departure follows a long list of high-profile exits from the company over the past 12 months.
Marketing manager Peter Bamford left the company in March and finance director Ken Hydon left last year. Other notable departures include senior manager for business partnerships Jason Rigby and head of dealer sales Iain Graham.
With the retirement of Sir Julian Horn-Smith and Lord Ian MacLaurin from the board in July there are few of Sir Christopher Gents "Newbury boys" left at the company.
Gent who oversaw the firms rapid expansion in the 1980s and 1990s also symbolically severed all ties with Vodafone in March by stepping down as president for life after he reportedly disagreed with CEO Arun Sarins management policy.
Hurrings departure at Vodafone will further fuel rumours of unrest at the company as it tries to regain the confidence of its investors. This follows a rocky few months for the company that included the sale of Vodafone Japan in March.

The first three fights available will be Eubank´s match with Benn in 1990 Storey in 1994 and Godoy in 1995.
Pricing varies from £1.50 to £10. Payment solutions are powered by Activefone and processed by Bango.

Existing Vonage customers can make free calls using a WiFi phone whenever they are in within range of a hotspot including all major airports First Great Western rail stations and more than 4000 pubs and regional hotels across the country.
"Enabling users to make telephone calls while on the move is the inevitable next stage of the VoIP revolution" said Vonage UK managing director Kerry Ritz.
Calls will be included in Vonage´s standard £7.99 a month "Residential Unlimited" package which includes unlimited calls to UK and Irish landlines as well as other Vonage customers worldwide. Users will need to buy a WiFi phone.
The Cloud COO Bobby Sarin added: "We believe it will lead to a huge growth in the VoIP market."