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Question about 5% royalties

Hey guys,

i have question about 5% royalties, I'm mobile developer, and i want to release a mobile game on google play store and apple store, my game is free but contains ads (admob etc...), so do i need to pay 5% royalties after reach 3000$ from ads or not? bcs i read only commercial games ( paid games ) need to pay, please explain this :)

Thanks.

Product Version: UE 4.16
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asked Jun 08 '17 at 04:06 AM in Legal & Licensing

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daylox
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The answer is yes. You need to pay royalty from "all gross revenue" generated by the product.

Quoted from the FAQ:

If I release a commercial product, what royalties are due to Epic, and when?
Generally, you are obligated to pay to Epic 5% of all gross revenue after the first $3,000 per game or application per calendar quarter, regardless of what company collects the revenue. For example, if your product earns $10 from sales on the App Store, the royalty due is $0.50 (5% of $10), even though you would receive roughly $7 from Apple after they deduct their distribution fee of roughly $3 (30% of $10).

Source: https://www.unrealengine.com/faq

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answered Jun 08 '17 at 04:37 AM

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rEaXX
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avatar image daylox Jun 08 '17 at 04:41 AM

Thanks man :)

avatar image rEaXX Jun 08 '17 at 04:42 AM

You're welcome.

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