Dolby Looking Over Shoulders At Microsoft, RealNetworks

its 10-K annual report

In the process, though, it names Microsoft and RealNetworks as potential competitors.

The company, which began in 1965, is looking to a future with more opportunities than ever with the advent of "on the go" music and video. But it is also acknowledging the potential for competition:

The company also said one of its key customers, Sony, could also be viewed as a potential competitor-in-waiting.

Here's another risk factor noted by Dolby:

Dolby does, however, have 1,400 patents pending. And, like Microsoft, it has a technology partnership with chip giant Intel. And the folks at Dolby don't sound particularly concerned.

Dolby sound experts Craig Eggers and Jack Buser produce a podcast every two weeks. In this recent podcast, the main topic is Dolby's gaming strategy. Among other data points, they note that all 10 of the top 10 best selling games in the past year supported Dolby Surround Sound.