Glaser bashes portable music plans

RealNetworks posted strong financial numbers today, pushed in large part by continuing growth in its Rhapsody music business. But CEO Rob Glaser said that its new portable subscription offer, launched in April to compete with Napster and others, isn't pulling its weight.

Indeed, Glaser said the company hadn't expected much in the short term from the portable side of the business, which uses Microsoft technology to let subscribers temporarily transfer an unlimited number of songs to compatible devices. But it's performed even less well than they expected, and the company now expects it to be a mere blip until 2006, when more devices are on the market, he said.

"Portable subscriptions are more hype than substance, and we expect that to continue until next year," Glaser said on the company's conference call.