Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On March 7, 2007, the Board of Directors of RealNetworks, Inc. (the "Company") approved the payment of a cash bonus in the amount of $325,000 to the Company's Chief Executive Officer, Robert Glaser. The bonus amount was based upon his achievement of certain financial and operating goals during fiscal year 2006.

Pursuant to the incentive compensation program for the Chief Executive Officer as established by the Compensation Committee of the Board of Directors, Mr. Glaser is eligible to earn an annual cash bonus of up to 100% of his annual base salary based on the achievement of certain financial and operating goals as determined by the Compensation Committee. For 2006, half of Mr. Glaser's bonus was based on the achievement of Company financial objectives. The remaining half of the bonus was based on Mr. Glaser's achievement of mutually agreed-upon strategic objectives.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.