Ericsson in Deal With RealNetworks
RealNetworks Inc. of Seattle is set to announce today that Ericsson, the leading supplier of equipment for mobile-phone networks, is incorporating the company’s technology for transmitting audio and video into its products.
No financial terms were disclosed, and the agreement doesn’t supersede Ericsson’s existing arrangement for wireless multimedia with Sun Microsystems Inc. and Apple Computer Inc.
The deal comes 11 months after a similar pact between RealNetworks and Nokia, the largest supplier of mobile phones. Only one wireless phone company -- CSL of Hong Kong -- has announced a deployment of RealNetworks’ technology, which it is using to transmit live and recorded video.
Ian Freed, vice president for mobile products and services at RealNetworks, estimated that 1% or fewer of all mobile phones can receive audio and video, but he predicted that up to half of the new phones sold next year could have that capability.
Although the limited capacity of their networks restricts quality and drives up costs, Freed said wireless companies already are transmitting audio feeds from sports events, hourly news updates, music samples and even live TV broadcasts.
RealNetworks shares rose 17 cents to $3.87 on Nasdaq.
-- Jon Healey
