RealNetworks ordered to pay in DVD lawsuit

The MPAA won its legal battle over a disc-copying product

The MPAA on Wednesday declared victory in its legal battle with Internet software company RealNetworks over a DVD-copying product.

Under terms approved in federal court, RealNetworks also will abandon its claims against the studios and pay $4.5 million to reimburse them for legal fees and costs incurred in litigation.

The resolution includes a permanent injunction by U.S. District Court Judge Marilyn Hall Patel, barring RealNetworks from manufacturing or marketing RealDVD or any similar product.

"Judge Patel's rulings and this settlement affirm what we have said from the very start of this litigation: It is illegal to bypass the copyright protections built into DVDs," MPAA general counsel Daniel Mandil said.

Patel granted a preliminary injunction against the sale of RealDVD on Aug. 11.