SAN FRANCISCO (Reuters) - Apple Computer Inc. is unhappy with RealNetworks Inc.'s move this week to make its RealPlayer music service compatible with Apple's market-leading iPod digital music player and may take legal action to counter it, the company said on Thursday.
Apple said in a statement it is "stunned that RealNetworks has adopted the tactics and ethics of a hacker to break into the iPod," adding: "We are investigating the (legal) implications."
Apple said once its iPod software is updated it is "highly likely" that RealNetworks files "will cease to work with current and future iPods."
Earlier this week, Seattle-based RealNetworks started offering a test version of its latest media player, RealPlayer 10.5, that allows people to transfer songs purchased on the RealPlayer Music Store service to Apple's iPod.
Real was quick to defend its Harmony digital rights management (DRM) software, which makes the RealPlayer-iPod transfer possible.
"Consumers, and not Apple, should be the ones choosing what music goes on their iPod," the company said in a statement.
"Harmony follows in a well-established tradition of fully legal, independently developed paths to achieve compatibility."
Real has said its new software makes the DRM technology that protects its songs compatible with Apple's own DRM standard, known as FairPlay.
Apple has aggressively fought against software developers who develop ways to get around the FairPlay protections, which regulate where and how files downloaded from the iTunes Music Store can be played.
Analysts were relatively unconcerned about the legal implications for Real, which so far has released the new "Harmony" software on a limited test basis.
To date, Apple has sold more than 4 million iPods, which now account for about 12 percent of its revenue. More than 100 million songs have been downloaded from its online music store.
For Cupertino, California-based Apple, the iPod operation "is the most important division because of its visibility and high growth," said Michelle Gutierrez, analyst with Schwab SoundView Capital Markets.
But, Gutierrez said, RealNetworks' software should not have an impact on Apple.
"This is not really material at this point," she said. "It hasn't been proven that RealNetworks provides a benefit. Their songs are not cheaper (and) they don't have a broader selection."
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Originally posted by: Lonyo
Why are Apple complaining?
That's stupid, they should encourage it.
iTunes = very little money made
iPod = Growth market, lots of money
More people competing with iTunes = no worry, it'll still be as popular, the user base will just not grow as much
It also means more music choice.
More music choice = more storage needed = more iPods sold (where Apple makes its money).
Originally posted by: Lonyo
Why are Apple complaining?
That's stupid, they should encourage it.
iTunes = very little money made
iPod = Growth market, lots of money
More people competing with iTunes = no worry, it'll still be as popular, the user base will just not grow as much
It also means more music choice.
More music choice = more storage needed = more iPods sold (where Apple makes its money).
Originally posted by: mpitts
What a shock.. Real Networks doing something shady and underhanded.
Real won't sell any more iPods, no one gives a damn about them anymore to the point that it's not even close to being a deciding factor. All Real can do is take traffic away from Apple in the online music arena, hurting Apple's image(they want to be seen as #1 here), and maybe even hurt iPod sales.Originally posted by: Lonyo
Why are Apple complaining?
That's stupid, they should encourage it.
iTunes = very little money made
iPod = Growth market, lots of money
More people competing with iTunes = no worry, it'll still be as popular, the user base will just not grow as much
It also means more music choice.
More music choice = more storage needed = more iPods sold (where Apple makes its money).
Originally posted by: SSP
I dont know what they are worried about. Real audio sucks. :laugh:
Originally posted by: aethandor13
I dislike real myself, but the fact remains that as more music stores open and use different means of copy protection your Ipod will not be able to use them. Which limits your selection of music. I have a big dislike for being told what I can and cannot do with something I spent my hard earned money on. Apple needs to open up the Ipod to other formats or licenses their current format.
Seconded. If you do a little more examination you'll find that the iRiver (among others) has the format support you desire. I'm unsure as to how it works with songs purchased on iTunes though.Originally posted by: ThePresence
Originally posted by: aethandor13
I dislike real myself, but the fact remains that as more music stores open and use different means of copy protection your Ipod will not be able to use them. Which limits your selection of music. I have a big dislike for being told what I can and cannot do with something I spent my hard earned money on. Apple needs to open up the Ipod to other formats or licenses their current format.
Frankly, I disagree. You knew what the iPod could play when you bought it. It's not like you didn't know what you were getting.
Originally posted by: ThePresence
Originally posted by: aethandor13
I dislike real myself, but the fact remains that as more music stores open and use different means of copy protection your Ipod will not be able to use them. Which limits your selection of music. I have a big dislike for being told what I can and cannot do with something I spent my hard earned money on. Apple needs to open up the Ipod to other formats or licenses their current format.
Frankly, I disagree. You knew what the iPod could play when you bought it. It's not like you didn't know what you were getting.
Originally posted by: aethandor13
I dislike real myself, but the fact remains that as more music stores open and use different means of copy protection your Ipod will not be able to use them. Which limits your selection of music. I have a big dislike for being told what I can and cannot do with something I spent my hard earned money on. Apple needs to open up the Ipod to other formats or licenses their current format.