RealNetworks Announces European Music Services Agreement with Vodafone

Agreement Will Bring Real's Portfolio of Mobile Music & Entertainment Services to Millions of Vodafone Customers Across Europe

SEATTLE and LONDON — May 16, 2007  —  Vodafone and RealNetworks (Nasdaq: RNWK), the leading creator of digital media services and software, have announced a multi-year global partnership today to support Vodafone's music services across Europe.

The agreement will make RealNetworks' compelling mobile music services, including Internet radio-style streaming music and the ability to purchase and download full songs, available to Vodafone customers in Europe. These services are available today from Vodafone in Germany, Ireland, Italy, Greece, Portugal, Romania and the UK. The Internet radio-style streaming music service is available in France. These services are currently provided to Vodafone by Sony NetServices, a joint venture of Sony DADC and Sony Europe that was acquired today by RealNetworks (see companion release).

"Vodafone is excited to be partnering with RealNetworks, helping our customers enjoy their favourite music, from anywhere and at anytime," said Dirk Wierzbitzki, Global Director of Consumer Product Marketing, Vodafone. "Real offers Vodafone a unique combination of industry-leading technology and the ability to deliver compelling entertainment services that enhance our customers' mobile experience. We look forward to working with them."

"As the world's leading mobile communications company, Vodafone is the ideal partner to deepen Real's presence in the global mobile marketplace," said John Giamatteo, President of Technology Products and Solutions and International Operations, RealNetworks. "We are uniquely suited to offer Vodafone customers a compelling and easy-to-use personalized music experience that takes full advantage of the reach and speed of Vodafone's superior 3G networks across Europe."

The Vodafone partnership provides Real with a foundation to deliver its full portfolio of digital entertainment services to Vodafone customers. In working with Vodafone, Real will leverage the technology and expertise it has gained in operating music services around the world. This includes the platform gained through today's acquisition of Sony NetServices, whose technology center and infrastructure in Salzburg, Austria, will continue to support delivery of music services to Vodafone customers, as well as the capabilities gained from its acquisition of WiderThan, a global leader in providing digital music services that can be delivered to, and synchronized across, customers' mobile device and their PC.

With the addition of Vodafone as a customer, RealNetworks now has 12 music on demand customers with more than 196 million mobile subscribers in 11 countries. Real's Technology and Product Solutions division provides services on an ASP basis to more than 75 communications carriers in 37 countries worldwide.

Vodafone music services are available on Vodafone live!, the industry leading communications and multimedia service. Vodafone live! gives customers access to a range of entertainment services such as TV, music, games, ringtones, news, sports and information; as well as easy access to leading Internet services on your mobile.

For More Information:
Karla Geci
RealNetworks (Europe)
+44 207 618 4029
kgeci@real.com

Julie Crabill
SHIFT Communications for RealNetworks (U.S.)
+00 (1) 408 219 5617
realtps@shiftcomm.com

Matt Graves
+00 (1) 4159 342159
mgraves@real.com

Media Relations
Vodafone Group
+44 (0) 1635 664444

ABOUT VODAFONE

Vodafone is the world's leading international mobile communications group with operations in 25 countries across five continents and over 200 million proportionate customers by the end of January 2007, as well as 36 partner networks. For further information, please visit www.vodafone.com.

ABOUT REALNETWORKS

RealNetworks, Inc. is the leading creator of digital media services and software including Rhapsody®, RealPlayer®, RealPlayer® 10, and casual PC and mobile games. 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. Consumers can access and experience audio/video programming and download RealNetworks' consumer software at http://www.real.com. RealNetworks' systems and corporate information is located at http://www.realnetworks.com.

VODAFONE and the VODAFONE logos are trade marks of Vodafone Group