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RealNetworks proposes alliance with Apple

updated 07:30 am EDT, Thu April 15, 2004

Real pursues Apple deal


RealNetworks CEO Rob Glaser has appealed to Apple CEO Steve Jobs to so as to allow music purchased through RealNetworks's Rhapsody music store to work with the iPod. In an email sent to Jobs last week, and obtained by The New York Times, Glaser proposes that in return RealNetworks would make the iPod its primary device for the store and its RealPlayer software. Glaser cited a need for his company to find a partner in the increasingly competitive business, and suggested that should Apple rebuff the offer, as industry analysts expect, it would likely turn to Microsoft and migrate its music store from the AAC format to WMA. "Why is Steve afraid of opening up the iPod?" Glaser asked the Times, after word of the deal leaked out. "Steve is showing a high level of fear that I don't understand."


by MacNN Staff

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Comments

  1. moonmonkey

    Professional Poster

    Joined: Jan 2001

    0

    ??

    This seems like a great idea, Real promoting the iPod.
    What's Job's problem?

  1. ardvaark

    Joined:

    0

    Just Do It, Steve.

    Remember Steve, the iTMS is all about selling iPods, not music. Glaser wants to help you do that. His agenda is to get back at Bill Gates and Co., and there's nothing wrong with that. Just do it.

  1. winstonford

    Fresh-Faced Recruit

    Joined: Mar 2004

    0

    itunes sells ipods

    A while back, Steve himself said that itunes existed to to sell ipods. Despite the success of the itunes store, he said that it was an expensive service to operate and had tough margins. if this still holds true, then the real music store will simply be another marketing arm to sell ipods.

    however, there is recent talk that the itunes store is making money. apple's decision here will determine whether they plan to make money distributing music or selling hardware.

    -Winston
    macshootout.com

  1. DeepDish

    Forum Regular

    Joined: May 2001

    0

    Just buy Real out

    Why can't Apple just buy Real out?

  1. IonCable

    Mac Enthusiast

    Joined: Apr 2001

    0

    I think..

    Do it, it'll get the "iTunes is closed critcs to shutup" and it could lead to Real adopting/intergating Quicktime into it's services and content. This would be a good thing. Quicktime is great but there is very little content on the web in Quicktime.

  1. dave a

    Fresh-Faced Recruit

    Joined: Jan 2002

    0

    Great idea

    This should be an ASAP.

  1. ibeetle

    Registered User

    Joined: May 2003

    0

    This was 2 years ago

    Apple and Real networks proposed a simalar alliance and a single all-in-one quicktime/realplayer over 2 years ago.
    But Real networks wanted all of the Quicktime code but wouldn't hand over any codeing for its player. In other words realtime would "take" Quicktime and all Apple would get is some money (which it does not need) for its licenceing.
    Maybe thats what Steve Jobs is worried about. That this is just a way for the number 2 guy to just walz in and take the best of the number 1 guy.
    I do think it is funny that Real networks is comeing to Apple. Rember for the past year they have been telling people that iTunes will never work, the iPod to exspensive and that Apple and the world needs to follow there bussiness model (a bussiness model that has gone out of bussiness twice before).
    For a company that is going out of bussiness and no one wants to develop for there sure are a lot of companies comeing to Apple for help or copying what ever Apple does.

  1. nemanirc

    Dedicated MacNNer

    Joined: Mar 2000

    0

    Do it!

    Apple didn't report a huge increase in revenues yesterday because they sold lots of songs through iTunes. Make the deal! Sell more iPods!

  1. rok

    Fresh-Faced Recruit

    Joined: Mar 1999

    0

    funny...

    "Steve is showing a high level of fear that I don't understand." Funny, it doesn't sound like STEVE is showing the fear here...

  1. pliny

    Mac Elite

    Joined: Apr 2001

    0

    re:This was 2 years ago

    "But Real networks wanted all of the Quicktime code but wouldn't hand over any codeing for its player. In other words realtime would "take" Quicktime and all Apple would get is some money (which it does not need) for its licenceing. "

    Good point, and what is Real offering now? They're offering to push/help market the iPod if Apple lets them license their stuff so they can sell more songs in their own music store. That doesn't seem like a very good trade for Apple, they should definitely hold out for more from Real because this only benefits Real. Apple props up Real and gets not much in return.

    There doesn't seem to be too much of a rush to buy/use songs coded in WMA over mp3/aac formats.

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