On Wed, 29 Apr 2015 07:54:58 +0100, scott wrote:

>> I imagine for the CryTek, the subscription model is more lucrative than
>> licensing to a few people - you get hobbyists who want to play with it
>> who could never afford to pay the $1.2 million (yes, I looked it up -
>> that was the cost reported in 2012 - so I owe you an apology, because
>> while it's not "millions" it is > 1 million.  So my apologies for
>> coming down quite as hard as I did.) licensing fee now have a
>> professional level tool they can access for a reasonable price.  Lower
>> price, larger market,
>> increases revenue.  Instead of 10 people paying $1.2 million (netting
>> $12 million in perpetual licensing fees), they can get, say, 100,000
>> people paying $10/month - or $120/year - which is a net of $12 million.
> 
> And if they were clever they would put something in the license of the
> $10/month version that prevented the huge companies using it, thus
> keeping the 10 people paying $1.2 million at the same time :-)

I would be surprised if they did, actually - in the long run, the monthly 
subscription would generally net them more than a perpetual license would.

The larger companies might opt to negotiate for a perpetual license, 
though, in the event that the company went away (for whatever reason) so 
they could continue to maintain their product which depends on the engine.

What they might have, though, is something for corporate licensing that 
requires a license per developer or something like that.

Jim

-- 
"I learned long ago, never to wrestle with a pig. You get dirty, and 
besides, the pig likes it." - George Bernard Shaw

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