When to Purchase Seat Licenses - Conceptual Phase

Hello,

I have a question regarding Unreal Engine’s licensing requirements, specifically concerning the seat-based license model. Our company is currently exploring the possibility of developing a service using Unreal Engine, but we are still in the conceptual phase. We have not yet downloaded the engine or begun any active development.

We also plan to utilize Unreal Engine for broadcast video production, which we understand is classified as a non-engine product and therefore not subject to royalties. However, our company’s annual gross revenue exceeds $1 million USD, so we understand that we are required to purchase seat licenses to use Unreal Engine.

In this situation, we would like clarification on when we are required to purchase seat licenses.

  • Specifically, are we required to purchase seat licenses as soon as we download Unreal Engine and begin experimenting, or does the requirement begin when we enter the active development phase? Or is the seat license only required when we begin generating revenue from a product that uses Unreal Engine?

  • Are there any additional conditions or specific details we should be aware of regarding the timing of seat license purchases?

We want to ensure that we are compliant with Epic Games’ licensing policies, and any information you can provide would be greatly appreciated.

I have already submitted a similar inquiry to Unreal Engine via this form (https://forms.unrealengine.com/s/ue5-custom-licensing) but have not yet received a response.

Thank you for your time and assistance.