Royalty for hardware related devices

We are developing a human body scan/measurement and virtual try-on system. Our system is not a pure software but combined by 60% of hardware and about 40% of software. We are interested in using UE4 in our system to improve our front side rendering effects. In this case, if we reached the income line to pay the royalty fee, should we pay 5% of the software percentage or the entire equipment? Thanks very much!

This is a hardware and software bundle that you’d make multiples of and sell them?

The system would be sold as a bundle at this stage. However, the software and hardware are isolated and the software could be sold separately in later stage.

Forgot to say thanks for the quick reply mate!

The technical EULA answer is that if they are bundled, the royalties applies to the price of the bundle. However, this may be resolveable with a custom license (depending on whether you qualify) or perhaps an understanding with our Finance team if you can sufficiently establish a separate price for the software. You can reach them through these instructions.

thanks very much for the detailed reply! As in a current amount of time software and hardware would be boundled, we may need to consider other engines. Frontal rendering is only one module of the system, 5% is too high for a single module…