Press Release

Qualcomm and RealNetworks Announce Agreement to Enable the Delivery of RealAudio and RealVideo Content on Wireless Devices

Qualcomm Licenses RealPlayer, RealAudio and RealVideo for its Integrated, Single-Chip Solutions

Mar 22, 2004ATLANTA

Qualcomm products mentioned within this press release are offered by Qualcomm Technologies, Inc. and/or its subsidiaries.

Qualcomm Incorporated (Nasdaq: QCOM), pioneer and world leader of Code Division Multiple Access (CDMA) digital wireless technology, and RealNetworks®, Inc. (Nasdaq: RNWK), a leading creator of digital media services and software, today announced that Qualcomm has licensed the award-winning RealPlayer®, including the RealAudio® and RealVideo® codecs. Support for this integrated offering will be available in the second quarter of 2004, beginning with Qualcomm’s MSM6100™ and MSM6250™ Mobile Station Modem™ (MSM™) chipsets addressing CDMA2000 1X and WCDMA (UMTS)/GSM/GPRS markets respectively. Consumers will be able to play back and stream RealAudio and RealVideo content, and 3GPP and 3GPP2 standards-based content through wireless devices integrated with Qualcomm’s Qtv™ solution.

"Qualcomm is committed to delivering superior quality multimedia solutions to our manufacturing partners as they design and bring next-generation multimedia handsets to the rapidly expanding mobile market," said Luis Pineda, vice president of marketing and product management for Qualcomm CDMA Technologies. "RealNetworks has been a pioneer in developing multimedia solutions. Integration of RealAudio and RealVideo technology into Qualcomm’s chipset solutions that power wireless devices will enable carriers to offer an established stockpile of high-quality content which will soon accelerate the availability of mobile services for consumers."

"Qualcomm and RealNetworks are working together to make possible unparalleled content experiences on consumers’ mobile phones," said Ian Freed, vice president Mobile Products and Services, RealNetworks, Inc. "Shipping our award-winning RealPlayer as an integrated component of Qualcomm’s chipsets, means a critical mass of mobile consumers will soon have powerful handsets capable of delivering rich audio and full-motion video content services. This agreement leverages the power of Qualcomm’s MSM chipsets with the flexibility of RealNetworks’ RealAudio and RealVideo codecs to provide faster time-to-market for multimedia-rich wireless handsets. Qualcomm has accelerated the RealNetworks codecs using the embedded DSP to provide better decoding performance and lower power consumption, resulting in an enhanced consumer experience. Qualcomm’s Qtv solution, part of Qualcomm’s Launchpad™ suite of technologies, is a feature-rich video decoder that enables mobile devices to stream, download and playback multimedia content and also supports MPEG4, H.263 and H.264 formats. Qualcomm’s MSM family of chipsets provide handset manufacturers with a portfolio of solutions to address third-generation (3G) handsets, supporting major 3G and 2G worldwide wireless standards to enable high-resolution multimedia applications, including video, audio, graphics and enhanced 3D animation.

Qualcomm’s chipsets include access to Qualcomm’s BREW™ solution. The BREW system enables the development and monetization of advanced applications and content, allowing operators and OEMs to differentiate their products and services and increase revenues. Qualcomm’s chipsets are also compatible with the Java™ runtime environment; J2ME™ can be built entirely on the chipset as an extension to the BREW solution. As a result of this agreement BREW and Java developers will have access to RealPlayer functionality. Qualcomm will be leveraging the flexibility of RealNetworks’ collaborative Helix Community (www.helixcommunity.org). RealNetworks is shipping or scheduled to ship the RealPlayer with phones manufactured by 5 leading mobile handset manufacturers.

RealNetworks, Inc. is the leading creator of digital media services and software including the award-winning Rhapsody® Internet jukebox service and RealPlayer 10. Consumers can access and experience audio/video programming and download RealNetworks’ consumer software at http://www.real.com. Broadcasters, network operators, media companies and enterprises use RealNetworks’ products and services to create and deliver digital media to PCs, mobile phones and consumer electronics devices. RealNetworks’ systems and corporate information is located at http://www.realnetworks.com.

This press release contains forward-looking statements that involve risks and uncertainties, including statements relating to: Qualcomm’s ability to successfully integrate RealNetworks’ technologies with Qualcomm’s technology, the extent to which mobile operators choose to deploy RealNetworks’ technologies, the extent to which mobile phone consumers choose to purchase CDMA-based mobile handsets, and whether support for RealNetworks’ technology will make it possible for mobile operators to create profitable business models for the delivery of content to mobile phone users. More information about potential risk factors that could affect RealNetworks’ business and financial results is included in RealNetworks’ annual report on Form 10-K for the year ended December 31, 2003, and its quarterly report on Form 10-Q for the prior quarter and from time to time in other reports filed by RealNetworks with the Securities and Exchange Commission.

Qualcomm Incorporated (www.qualcomm.com) is a leader in developing and delivering innovative digital wireless communications products and services based on the Company’s CDMA digital technology. Headquartered in San Diego, Calif., Qualcomm is included in the S&P 500 Index and is a 2003 FORTUNE 500® company traded on The Nasdaq Stock Market® under the ticker symbol QCOM.

Except for the historical information contained herein, this news release contains forward-looking statements that are subject to risks and uncertainties, including the Company’s ability to successfully design and have manufactured significant quantities of CDMA components on a timely and profitable basis, the extent and speed to which CDMA is deployed, change in economic conditions of the various markets the Company serves, as well as the other risks detailed from time to time in the Company’s SEC reports, including the report on Form 10-K for the year ended September 28, 2003, and most recent Form 10-Q.

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