Royalty Rates Based on Size of Streaming Business

1. Royalties are shown here as monthly but will be calculated and paid on a semi-annual basis. The rates shown include a 12.5% discount available through 2035 to Early Licensees who sign between now and June 30, 2026.
2. A licensee’s royalties are based on the size of its streaming business, measured semi-annually.
3. A licensee’s tier is the highest of the tiers based on the three listed metrics.
4. The number of active users and subscribers in developing countries (区域 2) are multiplied by .5 for purposes of calculating the metrics above, resulting in significant royalty savings.
5. Streaming revenue includes total revenue from subscription, rental, sell-through or other access fees. If any such fees are reduced in exchange for viewing of advertisement, the amount of such reduction is added to the calculation.
6. Royalty waiver provided in the form of a semi-annual credit of $25K.

Effective Rates for Each Metric (Early Licensees)

The effective rate table reflects the median royalties in each tier for each metric. An “Incremental Adjustment” was used to calculate the median.

Rates are based on the Royalty Tiers shown above. The effective rates shown below are provided for informational purposes only.

The rates used to calculate these effective rates include a 12.5% discount available through 2035 to “Early Licensees” who sign between now and June 30, 2026.

For more details on our Video Distribution Patent Pool Royalty Rates, click 这里.