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DirectX.NET. The prospect of making digital media services available as software components that can be executed remotely across the Web, in conjunction with all the other Web services that Microsoft is already planning and deploying, is quite intriguing.

RealNetworks was one of the pioneers of streaming media across the public Internet and continues to innovate, creating products of increasing maturity and capability RealNetworks was started by ex-Microsoft visionary Rob Glaser, so the company has always enjoyed a sometimes close, but often adversarial relationship with its strongest competitor Microsoft once invested in RealNetworks, but also ran into disputes over the behavior of player software that hijacked the RealAudio and RealVideo file types on installation Some of the early work on video compression technology, which appeared in Real Networks products, had its genesis in work done at Intel Architecture Laboratories IAL was established to help create reasons for people to buy Intel processors of increasing power and speed The kernel of the compression technology has changed over the years At one point, the use of wavelets instead of discrete cosine transforms (DCT) was seen as a way forward.

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Finally, we looked at a third scenario that uses a flat growth rate of 5 percent, which we believe will give us a conservative valuation for Citigroup Excess Return Period We have discussed our 1-5-7-10, boringdecent-good-great excess return period rule that we use when we approach a valuation It would be hard to find anyone that does not consider Citigroup a well-run, great company with great brands We used a 10-year excess return period in our valuation NOPM Estimate NOPM is the second of the five Chinese brothers To calculate NOPMs, we need to know a company s operating expenses In order of importance, Citigroup s expenses are: interest expense, benefits, claims and credit losses, and other operating expenses To calculate operating income for Citigroup, we took revenue from continuing operations and subtracted total expenses To arrive at Citigroup s NOPM, we divide operating income by revenue.

Companies simply may forget how to perform activities once considered essential for day-to-day operations Mike McNamara, chief operating officer at Flextronics, sees many companies who have allowed their core to become too thin It s important for us to have people within our customers companies with whom we can talk supply chain, he says We see a lot of companies who are no longer capable of performing some very critical activities 8 This is an issue for Flextronics when they work with customers to develop the parameters that will govern the relationship between the two companies and when they are attempting to execute on a day-to-day basis If there is no one within the customer s organization who can develop a long-term demand plan, says McNamara, it s very hard for us to get set up in the way that will serve them most efficiently.

According to some opinion in the industry, wavelet compression has a great deal more development potential in it than DCT-based compression Evidence for this is the adoption of wavelet techniques in the JPEG2000 specification for still image compression The company has historically striven to improve the quality of the video and audio that the systems codecs can produce It has successfully managed to improve codec quality, in a head-to-head battle with Microsoft According to informed opinion, there is very little to separate the two companies offerings Recently, RealNetworks introduced its RealOne system, consisting of a new player, a content hosting service and a media serving and distribution platform It has also joined forces with third generation mobile cellular network companies to port the Real Player to mobile devices and to influence the design of third-generation networks so that they support streaming media well.

The company also remains committed to distribution and media serving solutions that improve quality of service Real System iQ includes technologies to provide flawless transmission of streaming media over.

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