Real Networks Harmony technology

[wmansir]

I don't use iTunes or have an iPod, but this software has definitely caused Apple to react.

The Press release states:With Harmony Technology, RealPlayer Music Store supports more than 70 secure portable media devices, including all 4 generations of the iPod and iPod mini, 14 products from Creative, 14 from Rio, 7 from RCA, 9 from palmOne, 18 from iRiver, and products from Dell, Gateway, and Samsung. Generally speaking, Harmony supports any device that uses the Apple FairPlay DRM, The Microsoft Windows Media Audio DRM, or the RealNetworks Helix DRM, giving RealPlayer Music Store support for more secure devices than any other music store on the Internet.
From what I have read Harmony also allows the iPod to use WMA files from Napster, Walmart, etc, not just the Real Music Store. Apple has threatened to sue Real Networks, and also warned (or threatened) they will probably be breaking Harmony's compatibility with the iPod:
"When we update our iPod software from time to time it is highly likely that Real's Harmony technology will cease to work with current and future iPods."

So, some areas of interest for me:

1. I'm a bit at a loss to explain why Apple is so upset over this move. It's generally well known that the iPod is their money maker, so by allowing the iPod to work with more services wouldn't this software help them sell more iPods? I know iTunes has turned a slight profit, but nowhere near iPod's profit margin. Is it possible Apple hasn't been up front with the iTunes business model? Or are they just upset that someone is breaking their quasi-monopoly?

2. How does Harmony work? For the WMA stuff I would think it would have to re-encode, but for Real Music Store does it just download files in mp4 format with iTunes' (patent protected) DRM protections?

3. Where does Harmony stand in light of the DMCA plus reverse engineering and Apples DRM patents? There are certain loopholes for reverse engineering and DMCA violations for compatibility purposes, but I can't recall if those only applied obsolete products.

[int 21h]

Originally posted by wmansir
...
1. I'm a bit at a loss to explain why Apple is so upset over this move. It's generally well known that the iPod is their money maker, so by allowing the iPod to work with more services wouldn't this software help them sell more iPods? I know iTunes has turned a slight profit, but nowhere near iPod's profit margin. Is it possible Apple hasn't been up front with the iTunes business model? Or are they just upset that someone is breaking their quasi-monopoly?...

About to go out, so this is the only point I have time to comment on. I believe they are very upset because of their setup with the RIAA. Specifically, promises they made about their DRM system. Real Networks has just exposed RIAA's worst fears: 99 cent songs that can be freely traded and shared on the internet (via removal of the DRM). They have stated many, many times that they make little to no money on the sales of the songs themselves (they can't, the license fees that the RIAA extorts uses most of the 99 cents). They are in it purely for the hardware, but if they lose the ability to market major record label's songs for 99 cents, they will certainly lose some consumer appeal. Not too mention, Steve and the crew spent a considerable amount of company resources to even get to an agreement with the RIAA, I very much doubt they're going to let any company piggyback on that.

[wmansir]

I don't think this effects Apple and the RIAA because (AFAIK) the software doesn't use iTunes, in only lets the iPod work with OTHER services. It basically allows Real Media Store to create iTunes-like files, complete with DRM protection. And I think it converts .WMA files to iTunes-like files, and probably preserves the DRM too. I don't think Real would remove any DRM protections because of the legal ground, and the fact that they themselves have to work with the RIAA to license music for Real Music Store.

See, I assumed, like you, that this technology allowed other MP3 players to work with iTunes. Of course this would rub Apple the wrong way because allowing non-iPods to use iTunes could cut into iPod sales, the company's cash cow. But then, it doesn't make sense for Real to want to allow other MP3 players to access iTunes, since they run a competing service.

Here's a good Article on the subject: http://db.tidbits.com/getbits.acgi?tbart=07756

[int 21h]

Ah, I have it all wrong then. This technology allows Real Media's files to play on the iPod with DRM. So they wrap their own files in FairPlay and then the files play on the iPod...

I retract my previous statement :D