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UDK Royalty Threshold Raised to US$50,000

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  • UDK Royalty Threshold Raised to US$50,000

    Hi folks,

    We just wanted to let you know that we've raised the revenue threshold for UDK. Under the new rules you are not required to pay royalties on revenue earned from the use of UDK until that revenue exceeds US$50,000 which represents a 10-times increase over the previous threshold of US$5,000.

    We're really excited about folks making some amazing things with UDK and we realize that a lot of you are just started in the business so not having to pay royalties on your first $50,000 should help you get a financial footing toward building a quality game development business.

    One thing some folks didn't seem to realize is that whether you sell your product through digital distribution (or a retail location) the company doing the sale to the end user (called the "retailer") takes a cut (typically around 30%) for their efforts. The price they sell it for is called the retail price. The amount of money they pay to you on each sale is called the wholesale amount. When you pay us royalties you pay on the wholesale amount, i.e. the money you actually receive.

    Here are links to some examples that illustrate how UDK royalties work.

    Click image for larger version

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    Click image for larger version

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ID:	3251807

    If you have questions please feel free to post them below.

  • #2
    Wow Epic raising the bar again
    and clearing up some royalty info too 5*

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    • #3
      That is amazing!!!!!!!!!!!!

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      • #4
        EFFIN SWEET epic .... i love you

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        • #5
          Wow, fantastic news!

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          • #6
            Wow, you guys are great! Everytime I think it can't get better, you make it 10 times better. Thank you very much, and thanx for explaining the wholesale thing, made alot of sence.

            Thanx for all your great work.

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            • #7
              awesome! Epic is such an great company! Thanks!

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              • #8
                That's really awesome

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                • #9
                  Now that sure is quite Impressive... Or, should I say; "Epic"? Fine, it sure is Epic!

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                  • #10
                    Epic is epic? I think so..

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                    • #11
                      Mark is "Teh Hawtness"

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                      • #12
                        So, I never really looked into UDK, was always interested, is it free to use? And I can use I'm assuming Unreal Tech to create a 'game' I envision? Also, do you need a super beast computer to run UDK?

                        I don't know if those questions are off topic, so I apologize if they are. =/

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                        • #13
                          They are not off topic Karried. A beefy computer will help, but it is not necessary. Yes, you can use UDK to create your game. It is completely free to use and allows you access to the same tools used to create Gears of War 2 and Bulletstorm.

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                          • #14
                            sweeetttttttt

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                            • #15
                              Just to clarify, UDK is free to use and create your game, and even allows you to release that game for free. If you decide to sell your game, you have to purchase a license which is $99 and comes along with the royalty stipulations described in this thread.

                              All of this info is available on the UDK Licensing Page as well.

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