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Do we have to pay 5% revenue share if we make a sales platform with UE4?

We are currently planning the development of a shop that will sell both physical and software content. The shop itself won't be for sale (fully free), but it might be pre-installed in hardware devices that are sold.

We think UE4 could be a good fit this task but how about the revenue share? The hardware and software content sold in that platform will come mostly from 3rd parties.

Thank you

Product Version: UE 4.11
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asked Apr 19 '16 at 01:05 AM in Legal & Licensing

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1 answer: sort voted first

There are no royalties if your only revenue is selling unrelated physical or digital goods through the Product (i.e., that don't get you any Product access or in-Product benefits).

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answered Apr 19 '16 at 01:56 AM

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atypic STAFF
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avatar image bigzer Apr 19 '16 at 06:46 AM

Thank you for the answer.

Alright so for the hardware part the answer is pretty clear but for the software part I'm not fully certain of the following 2 situations:

  1. Let's say I make an Appstore / Playstore with UE4 in which my users can buy applications made by 3rd parties. In other words I do make money (let's say 30% of the sale) do I have to pay royalties to Epic?

  2. Also let's imagine a 3rd party makes an app/widget (in UE4) that my users can purchase and open within my store (like a widget that runs inside my store). Let's imagine a weather application. Do I have to pay royalties to Epic or will the seller who receives 70% from the sale have to pay for it or do both of us have to pay?

Sorry for this tricky question ^^

avatar image Irakli Apr 19 '16 at 07:16 AM
  1. You sold something else that does not enhance your product or provide additional functionality or access to your product. No charge.

  2. Weather widget, special skins/textures (looks), additional furniture and all other visual or functional enhancements that enhance your store are subjects to Epic royalty, if sold.

avatar image atypic STAFF Apr 19 '16 at 01:48 PM

I agree on item 1.

On item 2, I don't think I agree. You're selling a third party's weather app on your app store. That weather app is made in UE4, but it's not yours; you're just selling it. The developer of that app owes us a royalty instead of you.

avatar image bigzer Apr 19 '16 at 10:23 AM

Alright thank you ^^

avatar image bigzer Apr 19 '16 at 10:27 AM

I have another tricky one;

How about if we sell access to movies/videos streamed inside the application? 1.Through sales of a particular movie 2.The sale of a movie library 3.Sale of a video subscription plan?

avatar image atypic STAFF Apr 19 '16 at 01:48 PM

There is no royalty on linear/non-interactive content.

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