Unity Introduces Controversial Per-Install Fee, Several Indie Devs Respond

This morning, popular game-engine creator Unity Software announced an update to its pricing and packaging plans, which will go into effect on January 1, 2024. This new pricing plan charges developers for high-performing titles each time they install the game. Unity Runtime must be installed each time the game is downloaded. 

Unity Runtime Fee

In January 2019, games that have met a certain revenue threshold and a set number of lifetime installations will be eligible for the Unity Runtime Fee. Unity has set the thresholds for revenue and installations deliberately high to protect smaller developers. Unity Personal or Plus’ threshold is currently set at $200,000 in revenue and 200,000 installs. Developers will pay $0.20 for each install above the threshold. The games for the Pro or Enterprise version must have earned at least $1,000,000 in the past 12 months, and they have to have had at least one million lifetime installations. Developers will pay between $0.02 to $0.15 for each install above the threshold. Enterprise licensees will pay between $0.01 and $ 0.125. According to UnitySome developers are concerned by the lack of transparency.

Though Unity says it feels this new install-based fee will let creators keep their ongoing financial gains from player engagement, the policies do not directly address methods outside of traditional sales by which people can acquire video games in 2024, such as subscription services like Xbox Game Pass or Apple Arcade, free-to-play games, or piracy. Additionally, Axios’ Stephen Totilo reportsIf a user deletes and then reinstalls the game, it counts as two installations towards the developer reaching the threshold. Or, if the player has already passed the threshold they will be charged twice. If the same person installs the game on more than one device, the fees are the same. The fees are not charged for games or bundles purchased for charities, but some question how Unity would accurately determine the difference between normal sales and donations.

Unity is announcing its announcement. took to Twitter to clarify some of the points. The company is firm in their assertion that this price hike will not affect the vast majority of developers. The company stated in a tweet that the developers most likely to be affected are those with successful games who generate revenue above our thresholds. This means developers that are building up their businesses and expanding the audience for their games won’t pay any fees. It was created specifically to allow developers time to find success and avoid the fee.

Unity released a FAQ on its forums to address some common questions. Note that the FAQ states that any demo downloads counted towards your download total, regardless of whether it is early access or beta. You can also upgrade a demo from a one-level version to the complete game. Unity says it also has fraud detection processes in place that detect pirated copying to stop them charging developers. Unity says that it’ll start charging the Unity Runtime Charge for new installations if, for example a previous release has already reached the threshold. This will happen on January 1, 2020.

Read the entire post here on Unity Blog.

Developers React on Social Media

Many independent developers took to social media in response to the new policy to criticize the new pricing and installation-based fee.

Longtime indie developer Rami Ismail also posted on TwitterDevs now have to be concerned about demos. DRM-free gaming is now a risk for developers. Devs are at risk now from bundles. Now, giveaways can be risky for developers. Devs now have to be cautious about updates. “Multi-device users now pose a risk to developers.”

Developer Over The Moon Games initially reacted harshly to the news, saying that the 7 million people who downloaded the game when it was free on the Epic Games Store would cost the studio more than their lifetime earnings, but the developer’s follow-up posts on Twitter feature a more measured take on the situation. “So [Unity’s]New policy is terrible, but my reaction was also excessive,” the account posted on Twitter. The 200k installed in the past month and 200k dollars protect a number of cases. It’s still insane and prone to abuse but if your game sells for 10 bucks a pop, $200k is 20k installs – at $10, you’d have to make 2MM before [you hit the] threshold. Actually if I understand it, it’s even better – with a pro license you need to cross 1MM/1MM. $100k copies is $1m at $10. You can earn 10 million dollars in just one year.

The initial announcement caused Unity Software Inc. stock to rise to 39.69 from 37.41. However, the price quickly dropped to 37.58 and then climbed back up to 38.98 just before the market closed.

Popular games to use Unity as their engine include Sea of Stars, Pokémon Go, Call of Duty: Mobile, Cuphead, and Cities: Skylines. Unity has not yet responded to our request for a statement on the community’s response. We will update this story with its comment if it provides one.