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Technology Stocks : RealNetworks (NASDAQ:RNWK) -- Ignore unavailable to you. Want to Upgrade?

To: MJ who wrote (5831)	10/12/2005 7:25:26 AM
From: sixty2nds	Read Replies (1) \| Respond to of 5843

18:22 RNWK Details from ongoing Real Networks investor call -Update- Real calls settlement a "real and deep" partnership; co notes that having its Rhapsody service integrated in MSN Search, in the Messenger client and other MSFT properties gives Real additional distribution and promotion. Real will also purchase advertising from MSFT. In games area, co will develop new games for Xbox Live Arcade. Cos will also cooperate on enhanced tech interoperability. Settlement includes global settlement of antitrust disputes; also gives Real access to Windows Media, other MSFT technologies; cos plan interoperability of their digital rights technologies. 18:25 RNWK RealNetworks conf call update II -Update- Real notes that $460 mln of MSFT deal was paid upfront; $300 mln is scheduled to be paid over 18 mos. Real will receive $478 mln in 5 business days, will report that in its Q4. Real says MSFT can earn bounties through music subs delivered thru MSN. Co says the amount of the subs credits is "consistent with market rates", will provide REAL an attractive return. Cash pmts will likely be recorded as cash and investments. REAL says the net gain from the agreements is taxable, but the majority of Real's $585 mln in net operating loss tax credits are applicable. Due to timing of integration work, co says the deal won't materially impact Q4 revs.