RealNetworks Gives Up On RealDVD; Will Pay Studios $4.5 Million
Rob Glaser is still chairman of the board but it looks like the post-Glaser era at RealNetworks (NSDQ: RNWK) is well underway. The latest unraveling: Real is giving up the fight over RealDVD, the software deemed a copyright killer by the studios because it allowed users to store an image of copy-protected DVDs. After the market closed Wednesday, the company said it is dropping its appeal against a U.S. District Court preliminary injunction—and accepting a permanent injunction “that will prohibit RealNetworks from distributing or supporting RealDVD or any other technology that enables the duplication of copyrighted content protected by the Content Scramble System, ARccOS, or RipGuard.” The action is part of a consent judgment settlement approved today by U.S. District Judge Marilyn Patel.
SEE ALSO: RealNetworks Loses First Round In DVD Software Lawsuit
In his statement, acting CEO Robert Kimball once again talked about the need for Real to focus on its “core” business—a constant thread over the last few months as Real plans to spin off Rhapsody America, among other steps—and to placate the studios: “Until this dispute, Real had always enjoyed a productive working relationship with Hollywood. With this litigation resolved, I hope that in the future we can find mutually beneficial ways to use Real technology to bring Hollywood’s great work to consumers.”
As part of the settlement, Real also will:
—cover the studios’s costs and fees to the tune of $4.5 million; those suing included movie studios owned by Disney (NYSE: DIS), Sony (NYSE: SNE), NBC Universal (NYSE: GE), Viacom (NYSE: VIA), and Warner Bros. (NYSE: TWX) The DVD Copy Control Association also was a party. In his statement, Jacob Pak, the president of DVD CCA, called the legal message clear: “Making a DVD copier is a breach of the CSS license.”
—Turn off a metedata service feeding DVD cover art and info to the roughly 2,700 exiting RealDVD customers and refund there money.
RealNetworks launched RealDVD in September 2008 and the squawking commenced. By Sept. 30, Glaser was suing the studios claiming antitrust and the MPAA was suing Real; by early October, a temporary restraining order was in place. The notion of challenging the studios’ lock on how copyrighted content is delivered wasn’t all bad but it was a distraction Real didn’t need. Next time they could just try Bejeweled. Release.
Here’e's the full order courtesy of Digital Daily.
RealDVD CourtOrder -
Posted In: Entertainment, Movies, DVD, Technologies / Formats, Companies, Disney, RealNetworks, Viacom, realdvd, rob glaser, robert kimball

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