Epic typically charges developers a 5% royalty for use of its Unreal Engine on projects that exceed $1,000,000 USD gross lifetime revenue. See the Unreal® Engine End User License Agreement For Publishing for more information.
However, if you opt in to this program, Oculus has arranged for your Unreal Engine license to be royalty-free for the first five-million US dollars (USD $5,000,000) of revenues generated from sales related to your application on the Oculus Store of the following:
You must obtain a license to the Unreal Engine Directly from Epic. Oculus is not granting you an Unreal Engine license. You remain responsible for complying with all of the terms of your license to the Unreal Engine.
If you are an Unreal developer, you will see a Revshare OptIn link in the left side menu ([Organization Name] / [App Name] / Manage Builds / Revshare OptIn) of the Oculus Dashboard. By opting in you are agreeing to the following:
You agree that Oculus can provide Epic Games with sales information, including the number of units sold on the Oculus Store and Net Revenues, for your Unreal Product and any Unreal Product UGC.
Oculus is only responsible for reporting and paying royalties for sales related to your application on the Oculus Store.
You remain fully responsible for compliance with all terms of your Unreal Engine license from Epic. For clarity, you must pay royalties to Epic on the following in accordance with your Unreal Engine license:
a. All revenues generated through any means other than sales of licenses for your application or related UGC through the Oculus Store (e.g., in-app purchases or advertising, sales through other platforms); and
b. All Net Revenues above five-million US dollars (USD $5,000,000) from sales of licenses for your application and related UGC.
If you don’t agree to the terms above, then do not opt in to this program. You will remain responsible for reporting and payment of all royalties due to Epic.
You can report your royalty obligations to Epic using the Epic Royalty Report - https://epicgames.formstack.com/forms/royalty_report
This offer extends until December 2025, after which time developers will be responsible for any royalties incurred.