As an aspiring game developer, you’re probably wondering if Unreal Engine is free forever or if there are any hidden costs. Well, we have some good news and some bad news for you.
The good news is that Unreal Engine is free to use, but the bad news is that it comes with a cost model that may surprise some developers.
In this article, we will explore the surprising cost model of Unreal Engine and how it works. We’ll look at real-life examples of developers who have used Unreal Engine and the costs they incurred. We’ll also examine the pros and cons of using Unreal Engine and whether it’s worth the investment for your game development project.
First, let’s take a closer look at the cost model of Unreal Engine. There are three main components to the cost model: licensing fees, royalty fees, and maintenance fees.
Licensing fees are the upfront costs that you pay to obtain a license to use Unreal Engine. These fees vary depending on the version of Unreal Engine you choose and the number of users you need.
For example, if you’re using Unreal Engine for personal or academic purposes, you can download it for free. However, if you want to use it commercially, you’ll need to purchase a license. The licensing fees range from $199 to $4,999 per year, depending on the version and usage requirements.
Royalty fees are the percentage of revenue that you pay to Epic Games for each copy of your game sold. These fees vary depending on the platform you’re selling your game on and the number of copies sold.
For example, if you sell your game on PC or console, you’ll need to pay a 20% royalty fee to Epic Games. However, if you sell your game on mobile devices, you’ll need to pay a 30% royalty fee. The royalty fees range from 5% to 30%, depending on the platform and usage requirements.
Maintenance fees are the ongoing costs that you pay to keep Unreal Engine up to date and running smoothly. These fees include bug fixes, security patches, and software updates. The maintenance fees vary depending on the version of Unreal Engine you choose and the level of support you need.
For example, if you’re using Unreal Engine for personal or academic purposes, you don’t need to pay any maintenance fees. However, if you’re using it commercially, you’ll need to pay a monthly maintenance fee of $200 to $3,000, depending on the version and usage requirements.
Now that we’ve looked at the cost model of Unreal Engine let’s examine some real-life examples of developers who have used it and the costs they incurred.
One example is Epic Games themselves, who use Unreal Engine to develop their own games. In 2019, Epic Games announced that Fortnite had generated over $1 billion in revenue, and they paid out a total of $100 million in royalty fees to developers who used the game’s engine. This demonstrates the potential for Unreal Engine to generate significant revenue for both Epic Games and developers who use it.
Another example is Ubisoft, who used Unreal Engine to develop their popular game, Assassin’s Creed Valhalla. In an interview with Polygon, Ubisoft’s Technical Director of Graphics and Visualization, Pierre-André Dupuis, said that they chose Unreal Engine because of its powerful graphics capabilities and support for real-time ray tracing. However, he also acknowledged that the licensing fees for using Unreal Engine were a significant investment for their game development project.
So, is it worth the investment to use Unreal Engine? The answer depends on your specific needs and budget. If you’re developing a small indie game with limited usage requirements, Unreal Engine may be too expensive for your budget. However, if you’re working on a large-scale game with complex graphics requirements, Unreal Engine may be the best choice for your development needs.
