Glaser touts RealOne as 'universal' platform

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Internet World

By Marc Ferranti

NEW YORK (IDG) -- RealNetworks got several votes of support Wednesday as Compaq Computer and a variety of big-name advertisers announced that they will work closely with the RealOne media subscription services and related suite of streaming media technologies, the company's CEO and chairman, Rob Glaser, announced here at Internet World Fall.

Glaser pulled out all the stops during a keynote speech in the company's ongoing effort to persuade consumers, service providers, corporations, and developers to bet on RealOne and the related RealSystem media creation and server products as the key multimedia development and delivery vehicles for the Internet.

Compaq will include the RealOne Player as the default media player in Compaq Presario PCs, aimed at consumers, Glaser said. Compaq also will offer its PC customers RealNetworks' Internet subscription services, including the recently launched RealOne Music service, he said.

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In addition, Glaser announced that companies including the Absolut brand from Sweden's V&S Vin & Spirit, the Acura unit of American Honda Motor, and adiamondisforever.com will be working with RealNetworks to adapt marketing content for the RealOne Player.

The announcements come in the wake of some major product and service releases from RealNetworks, including last week's launch of the RealOne Music and RealOne Membership music and video services. RealOne marked the debut of MusicNet subscription services, developed by an alliance including RealNetworks, AOL Time Warner, Bertelsman, and EMI Group.

Key to Glaser's sales pitch was his assertion that the ability of RealNetworks' technology to run on a variety of operating systems and its integrated development, server, digital rights, and playback technologies make it the "universal" software package for media creation and consumption on the Net.

Pointing to the RealOne services launched last week, he called them "a unifying media experience. We're thrilled with the enthusiastic response we've had after one week."

Glaser defended the fact that RealOne does not offer the entire catalog of music from the major music companies that are backing it.

"There isn't everything for everyone, but there's something for everyone ... my best advice is to try it; if you don't like it you're out 10 bucks and you can cancel your subscription after one month," he said.

RealOne Music is priced at $9.95 per month and lets users download and stream as many as 100 music tracks from the catalogs of the MusicNet alliance.

RealNetworks and MusicNet are up against heavy competition, however. For example Pressplay, a joint venture between Vivendi Universal and Sony Music Entertainment, is using Microsoft's WMA (Windows Media Audio) digital music file format and digital rights management technology for its forthcoming subscription music service.

In addition, Microsoft demonstrated components of the latest rendition of its new Windows Media Technology, code-named Corona, here this week. Components of Corona, such as new versions of Windows Media Audio and Video, Windows Media Encoder, and Windows Media Software Development Kit, will go into beta test in early 2002.

Although not targeting Microsoft directly by name, Glaser touted the ability of RealNetworks' technology to run on operating systems ranging from Windows to Unix variants, including Linux. To support the claim that RealOne and RealSystem products will be the universal media authoring and consumer tools for the Net, Glaser also noted that RealNetworks is in trials with companies including Telef-nica, Sonera, and AT&T Wireless Services to offer wireless media services.

"It was a good sales pitch," said Richard Moskowitz, an Internet World attendee and vice president of business development for Alpha Virtual, a developer of Web collaboration technology in Los Angeles. "The RealNetworks authoring tools have an edge on Microsoft; they're simpler, easier to use. The pitch that RealNetworks is more universal than Microsoft hits home because Microsoft is not known as a real sharing and caring company," Moskowitz said.

He added, however, "But you can bet that Microsoft is going to look at the tools RealNetworks has to offer, and match them."