AT&T Wireless confirmed Tuesday it has been selling two netbooks from Dell Inc. and Acer Inc. for US$99 apiece after rebates, but customers must commit to a two-year data service contract for $60 a month.

An AT&T spokesman said the carrier eventually wants to sell all kinds of embedded wireless devices that will work over its networks, including e-book readers, wireless cameras and in-car navigation devices.

"We're talking about just about anything going wireless. We're even talking about machine-to-machine devices like devices that do power readings, sending data wirelessly," said spokesman Mark Siegel in a telephone interview. "The netbook is certainly a terrific opportunity, but just a start."

Siegel hedged when asked if the netbooks on sale are heavily subsidized by AT&T, arguing that the device makers eventually set the prices AT&T customers pay. But most netbooks are selling today for $350 to $600.

Radio Shack Corp. began offering the in mid-December for $100, with a requirement to purchase a two-year AT&T data plan for $60 a month. At that time, the Aspire One was selling elsewhere for $500. But at $60 a month for data service, a user will pay $1,440 over two years in addition to the $100 for the netbook.