RealNetworks, Inc. is a provider of artificial intelligence and computer vision based products. RealNetworks was a pioneer in Internet streaming software and services. They are based in Seattle, Washington, United States. The company also provides subscription-based online entertainment services and mobile entertainment and messaging services.
RealNetworks (then known as Progressive Networks) was founded in 1994 by Rob Glaser, an ex-Microsoft executive, and a management team including Phil Barrett, Andy Sharpless, and Stephen Buerkle. The original goal of the company was to provide a distribution channel for politically progressive content. It evolved into a technology venture to leverage the Internet as an alternative distribution medium for audio broadcasts. Progressive Networks became RealNetworks in September 1997, in advance of the company's initial public offering (IPO) in October 1997 when shares of the company started trading on Nasdaq as "RNWK".
RealNetworks were pioneers in the streaming media markets and broadcast one of the earlier audio events over the Internet, a baseball game between the New York Yankees and Seattle Mariners on September 5, 1995. They announced streaming video technology in 1997. According to some accounts, by 2000 more than 85% of streaming content on the Internet was in the Real format.
Despite this success, problems arose because RealNetworks's primary business model depended upon the sale of streaming media server software, and Microsoft and Apple were giving those products away. As servers from Microsoft and Apple became more capable, Real's server sales inevitably eroded.
In RealNetworks, Inc. v. Streambox, Inc. in January 2000, RealNetworks filed an injunction against Streambox, Inc. regarding that company's product designed to convert Real Audio (.rm) formatted files to other formats. On December 4, 2001, the company was to launch the first coordinated effort to sell and deliver music from major record labels over the Internet, part of a broader initiative by the company to develop subscription Internet services aimed at Web users with fast Internet connections.
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