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Realnetwork Case

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RealNetwork creates digital media that people can use on a daily basis. RealNetwork products and services consist of RealMedia HD, which people use to stream movies and videos on their mobile devices of choice over the Internet; RealPlayer, which people use to watch videos, photos, and music on their PC; RealTimes, which organizes your photos to create a video story that is set to music and arranges them with different transitions; and GameHouse, which offers a host of games that can connect players on any devices they choose to use. RealNetwork has faced many challenges as they try to expand its brand. One of the challenges that RealNetwork faced is the elimination of their product through the Microsoft monopolization of the digital media market. …show more content…

The lawsuit basically states that Microsoft has illegally monopolized the digital market by requiring consumers of the Windows product to accept its digital media player. According to Minnis (2013), “RealNetworks Inc. alleged that the software giant has violated state and federal antitrust laws, took losses on software sales to boost market share, and exploited its Windows monopoly to restrict competition.” In other words, Microsoft tied its digital media software to its operating system. Even if the user only wanted the Windows operating system the consumer had no other choice but to accept the Windows Media Player because it was tied to the Windows operating system. In 1997 Microsoft had no invested interest in digital media, which enabled RealNetwork to become the market leader, however, by 2002 due to Microsoft monopolistic attitude, they ended up surpassing RealNetwork in the digital media player

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