But concerned about low pricing for iPhone games.
iPhone will be a key factor in RealNetworks' future growth along with Facebook, said CEO Rob Glaser yesterday, after announcing the company's Q3 financials.
Real generated revenues of $140.3 million in Q3, down 8% year-on-year, but turned a profit of $1.5 million for the quarter thanks to cost-cutting measures.
But it's iPhone that's currently exciting the company, both for music - its Rhapsody app was downloaded 200,000 times in its first 20 days of availability - and for games.
Glaser told analysts that the company has now launched 11 free and paid iPhone games, and that Apple's handset now accounts for 15% of the company's mobile revenue. However, he said it remains concerned about rock-bottom pricing on the App Store.
"Games are typically sold for less than $3 or less than half other online games. While we started making progress in understanding these new monetisation methods, it will take time."
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Meanwhile, Glaser was bullish about Rhapsody's prospects, saying that Spotify's success on iPhone in Europe hints at similar potential for Rhapsody in North America.
"It's our firm belief that it will continue to be a premium paid product," he said. Meanwhile, in a separate interview with MocoNews, Glaser said Real is considering launching a standalone iPhone Rhapsody subscription - currently, the app is tied to a subscription covering all platforms.
