Epic Games shifts Unreal Engine pricing, introducing a $1,850 annual fee for non-game developers in version 5.4

Epic Games, the renowned developer behind Fortnite, is set to revolutionize its payment structure for non-game developers utilizing its Unreal Engine. With the imminent release of Unreal Engine version 5.4 in late April, non-game developers will encounter a significant shift: an annual subscription fee of $1,850 per seat, departing from the traditional royalty-based model favored by game developers.

This novel pricing approach is tailored specifically for non-game developers, encompassing those engaged in crafting linear content such as films and TV shows, infotainment systems for automobiles, and immersive experiences like theme park attractions. Notably, this change excludes game developers, who will persist with the existing 5 percent royalty system applicable to products generating over $1 million in lifetime gross revenue.

Nevertheless, Epic's new pricing structure carries exemptions for certain non-game developers. Companies with an annual gross revenue below $1 million, along with students, educators, and hobbyists, will be spared from this subscription fee. Additionally, entities creating plug-ins for the Unreal Engine can continue accessing it free of charge, with Epic deriving revenue share through the Unreal Engine Marketplace.

For the annual fee of $1,850, subscribers gain access not only to the Unreal Engine but also to Epic's Twinmotion real-time visualization tool and RealityCapture photogrammetry software. Epic's roadmap includes integrating these supplementary tools directly into the Unreal Engine by 2025's end. However, they will also be available separately, with Twinmotion priced at $445 per year and RealityCapture at $1,250 per year.

This strategic decision by Epic follows in the wake of a similar move by competitor Unity, which swiftly retracted its controversial pay-per-download pricing scheme. Like Unity, Epic's new pricing model will solely affect games created with Unreal Engine 5.4, sparing developers utilizing earlier versions such as 5.3 from the impending pricing adjustments until they decide to upgrade.

For the annual fee of $1,850, subscribers gain access not only to the Unreal Engine but also to Epic's Twinmotion real-time visualization tool and RealityCapture photogrammetry software