Both media files and live media streams are supported. File types include all the types playable by Microsoft DirectShow, namely: AVI, MPEG (MPEG-1), MPA, WMV, WMA, ASF, MP3, QuickTime (version 2 and lower).

Live media sources include: digital cameras, microphones, analog video sources (analog camera or TV) connected to Video card or to FrameGrabber card that supports DirectShow interface. There can be multiple live sources on a single computer. Live video content is compressed with MPEG-4 codec in real time, MPEG Layer-3 or GSM formats are used for live audio compression. Modem, DSL, T1, LAN compression profiles are supported.

TCP and HTTP transport protocols are used for streaming content from Media Server to clients. Incoming content is not stored on client computer's hard disk and user is not allowed to save media locally, thus author's rights are fully protected.

Unreal media server was designed for streaming media over networks that support TCP/IP. The transport protocols between client and server are TCP and HTTP, which makes it possible for remote content to be located anywhere in the world. Remote files must reside on the computer where MediaServer is installed (server machine), or on server machine's LAN. Default MediaServer TCP port for client connection is 5119, while default HTTP port is 80. However, port number can be changed on the server machine. For a client (computer that runs Sreaming Media Player) to request media over Wide Area Network (WAN) the server machine must have a public IP address and/or resolvable Internet name. In case when both client and server are on the same LAN/VPN, server machine name can be used. However, remote live source computers rather need to be reachable from the server machine, than from the client machine. The only supported communication protocol between server machine and live source machine is TCP - port 5120.