Digital media: Will Microsoft win again?

C|Net | at | by Mike

A battle is brewing over the future of digital media that could determine whether consumers are locked into formats controlled by Microsoft or have access to more open standards championed by competitors. On the one hand, Microsoft is pushing its proprietary Windows Media technologies and its pending successor, dubbed Corona. On the other, RealNetworks, a longstanding supporter of many digital media formats, is joining Apple Computer and other companies in backing open-standard MPEG-4.

Microsoft faces numerous obstacles in this format war, including major resistance among content owners and distributors--such as cable and wireless providers, which are reluctant to hand over a crucial component of their industries to a single technology provider. Movie studios, record labels and cable providers have an enormous stake in backing standards to ensure compatibility between platforms and devices as well as equitable licensing terms.