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Welcome to Unreal Engine 4

unrealengine.com

11–20 of 168 posts

Re: Welcome to Unreal Engine 4

#11
post #4

the $19 paywall complicates all things. complicates distrbution. their github repo cannot be public. etc. If you going for indies, why not just go all in and make it free to start. The money they make is on the 5% not $19

They likely realize what they're doing. I'd wager it's a friction fee. Markets often have fees just to add friction to eliminate some problems that derive from completely free access. They clearly don't care about the $19, it's meaningless except for one plausible purpose.

Re: Welcome to Unreal Engine 4

#12
post #5

The 5% is a bit misleading too because it's 5% of "sticker price" (what they call "gross revenue" which means purchase price not including sales tax). So for a $10 iTunes game they get $0.50 (5% of what Apple gets) and not $0.35 (5% of what you get). This is particularly bad for retail games where you're getting 30% or less of retail price (and that's hardly pure profit). Unity, in comparison, costs more per month (o…

I believe they are willing to make exceptions for certain titles: https://www.unrealengine.com/custom-licensing

Re: Welcome to Unreal Engine 4

#13
"5% of gross revenue resulting from sales to users."

As others have pointed out, that is a huge amount, that is probably 25 - 30% of your "profit". The accounting is pretty easy though. Units * SRP * 0.05 == royalty.

That said, it is a lot simpler than investing $25 - $30K up front while building the game, only to have it go poof because the market or your designer flaked out. Figure 3 year development at $20/month that is less than $1,000 at risk. This gets people using their engine early and often perhaps hoping they can negotiate a different royalty later on. It would also be interesting to see if it had a cap, like $1M or something.

Kudos to the Epic folks for coming up with a pretty creative strategy in todays market.

Re: Welcome to Unreal Engine 4

#14
What happens when one stops selling the game? Can one then say it is free? Would one still be required to pay them 19 USD per month, one cant actually take the software back, it is already out there using the engine and all.

Re: Welcome to Unreal Engine 4

#15
post #12
post #5

The 5% is a bit misleading too because it's 5% of "sticker price" (what they call "gross revenue" which means purchase price not including sales tax). So for a $10 iTunes game they get $0.50 (5% of what Apple gets) and not $0.35 (5% of what you get). This is particularly bad for retail games where you're getting 30% or less of retail price (and that's hardly pure profit). Unity, in comparison, costs more per month (o…

I believe they are willing to make exceptions for certain titles: https://www.unrealengine.com/custom-licensing

Indeed, if you're writing a AAA title you'll probably go for a one-off six figure licensing fee instead of 5% of back end, but that's hardly going to be more attractive than these terms. I imagine Rovio or the Candy Crush guys might similarly prefer a one-off license deal (were they to use Unreal).

Re: Welcome to Unreal Engine 4

#16
post #9
post #4

the $19 paywall complicates all things. complicates distrbution. their github repo cannot be public. etc. If you going for indies, why not just go all in and make it free to start. The money they make is on the 5% not $19

If I had to guess, it's designed as a threshold barrier so they don't have to deal with trying to track down thousands of "projects" where the developer is someone who had big plans to build a game but got bored a week in. At least now, presumably the $19 at least covers the operating costs of tracking all the people you might need to be collecting license revenue from.

well thats the whole point of opening it to the community. that 'failed project' developer will himself gain a lot of experience that he can freely share. I dont think they care about hunting down extremely tiny devs and even $19 doesnt cover that cost.

Re: Welcome to Unreal Engine 4

#17

What happens when one stops selling the game? Can one then say it is free? Would one still be required to pay them 19 USD per month, one cant actually take the software back, it is already out there using the engine and all.

I would think you stop paying when you stop distributing it.

Re: Welcome to Unreal Engine 4

#18
We develop and sell a game making tool as well, we've thought about this sort of option but decided not to go down this route as it appears impossible to police. Anyone know how Unity intends to police 5% profits?

Re: Welcome to Unreal Engine 4

#20

"5% of gross revenue resulting from sales to users." As others have pointed out, that is a huge amount, that is probably 25 - 30% of your "profit". The accounting is pretty easy though. Units * SRP * 0.05 == royalty. That said, it is a lot simpler than investing $25 - $30K up front while building the game, only to have it go poof because the market or your designer flaked out. Figure 3 year development at $20/month t…

Access to Unreal Engine 3's underlying source code cost hundreds of thousands of dollars previously (the CryEngine will run you over a million). You could also license v3, with no access to native code, for $99 and they took a % of sales after $50,000 if I recall. So this is a massive upfront savings in the use case where you need access to the engine code itself.
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