At first sight it looks like the woman, clad in a hijab and carrying a baby, is fleeing the city which has been under siege for months.
But photos reveal she is holding a trigger, which will be pulled seconds later.
An Iraqi TV station captured the seconds before she blew herself and the baby up near Iraqi troops.
A cameraman for al-Mawsleya TV said the woman attempted to detonate the explosives vest hidden under her veil as she walked past Iraqi soldiers
But the bomb failed to go off, exploding seconds later as the woman walked a distance away.
The woman and the baby were killed in the explosion which injured two soldiers and injured several civilians.
Al-Mawsleya TV was filming the ongoing battle for Mosul between Iraqi troops and Takfiri ISIS militants when the suicide bombing rocked the city.
ISIS has vowed to “fight to the death” in Mosul and is now using female suicide bombers in a desperate attempt to hold into the city.
After eight months of combat Iraqi officials say victory in close in the battle that has ruined parts of the city, killed thousands of civilians and displaced nearly one million people.
The militants have been driven from all but a patch of territory on the western bank of the Tigris bisecting Mosul, where they have staged a last stand in the narrow alleys of the Old City.
Plumes of smoke rose over the Old City on Sunday and the decaying corpses of ISIS militants lay in the streets. Scattered bursts of gunfire could be heard and several airstrikes were carried out.
ISIS militants threw themselves into the River Tigris on Sunday, trying to flee the battlefield as they faced imminent defeat by Iraqi forces fighting to dislodge them from their last pocket in the city.