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 soon enable carriers to offer an established stockpile of high-quality content which will 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.

ABOUT REALNETWORKS
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.

ABOUT QUALCOMM INCORPORATED
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.