The introduction of RealJukebox will again put RealNetworks in direct competition with Microsoft, which launched its own downloadable music player last month as part of Windows Media Technologies 4.0. The Microsoft platform combines a new MSAudio compression scheme designed to replace MP3, and a rights management platform, based on Windows NT, for protecting content owners' copyrights.
RealNetworks itself signaled its determination to get into the MP3 market last month when it said it will acquire Xing Technology, a maker of MP3 tools.
To many, digital music distribution seems a promising market in itself, and a potential gateway to the next generation of electronic commerce. Indeed, as the market matures, those in the downloadable music industry may have a head start toward selling other downloadable content, such as movies, software, and electronic books.
"We're now entering an additional new fundamental business, which is the delivery of bits," said RealNetworks chairman and CEO Rob Glaser.
