RealNetworks, Inc. today re-launched its popular Rhapsody music service, expanding the offering with the rollout of a tiered system that allows users to hear 25 free streams per month at no charge, listen to an unlimited number of streams for a monthly fee, or, for an additional amount, take their subscription tracks with them on a portable player.

The new Rhapsody, available now at www.rhapsody.com, offers anyone who downloads the software the opportunity to listen to 25 free streams per month—a new twist on the subscription model. The free tracks are being sponsored by Chrysler and are further underwritten by Real’s relationship with Google. Artists, labels and publishers all still get paid for the streams, though they are free to the consumer.

Real says it worked closely with the music industry in order to make the “try it for free” idea work. Each copyright owner involved in a track will be paid at a rate “generally comparable” to full on-demand subscription rates, but Real says participants were willing to flex a little because the new model has the potential to drive increases in sales.

Each Rhapsody 25 user gets to choose how to use the 25 free streams. One can choose to listen to 25 different songs one time each, or one song 25 times. Regardless, users choose their 25 from Rhapsody’s library of over a million tracks.

A monthly subscription of $9.95 will grant users access to the new Rhapsody’s second tier, known as Rhapsody Unlimited. As the name implies, this level provides unlimited access to streams from the Rhapsody library (both online and offline), but subscribers also get access to a variety of custom, artist-based and Internet radio stations, as well as over 1,500 music videos.

For $5 a month more, subscribers can take their subscription tracks with them. This new service, known as Rhapsody To Go, allows transfer of an unlimited number of tracks to supported players, which include the iRiver H10 and Creative Zen Micro, as well as Apple’s iPod, through Real’s controversial Harmony technology, which converts Rhapsody tracks to an iTunes-friendly format. In a press release, the company states, “Real is committed to providing consumers choice and will continue to add support for additional devices.”

Rhapsody To Go follows the launch earlier this year of Napster, Inc.’s Napster To Go service, which was the first to offer the ability to transfer subscription tracks to portable players. To promote the service, Real is offering a $100 mail-in rebate on an iRiver portable player to those who subscribe to RTG for a year.

The new Rhapsody also now features an integrated download store, much like Apple’s iTunes music store. Users can purchase tracks encoded in high-resolution 192 kbps RealAudio 10 with AAC for $.99 each or albums for $9.99. Rhapsody Unlimited subribers get a 10% discount on download store purchases.

Community features in the new Rhapsody allow users to share playlists with each other, or publish them for all to see on the service’s “Playlist Central” area. The Rhapsody home page can be customized, and the new service also includes parental controls to prevent junior from listening to the wrong booty joint.

Said Real Chairman/CEO Rob Glaser, "With the new Rhapsody, millions of people can now experience and share digital music legally, and with no strings attached. We think the new Rhapsody will transform digital music. What's more, we believe that once consumers experience Rhapsody and share it with their friends, many people will upgrade to one of our premium Rhapsody tiers. We thank our partners in the music industry who worked closely with us to create an innovative and win-win approach that works for both the industry and consumers."

To celebrate the Rhapsody re-launch, Real is sponsoring a concert today at New York’s Radio City Music Hall featuring Good Charlotte.