Home Internet of Things Aerospace Apparel Energy Defense Health Care Logistics Manufacturing Retail

Ask The Experts Forum

BlogsAsk The Experts ForumWhat Is the Average Royalty for RFID Software?

What Is the Average Royalty for RFID Software?

Posted By RFID Journal, 12.03.2014

Is it generally a percentage of net sales or gross revenue?

—Name withheld

———

I'm not exactly sure what you are referring to. Generally, when a company contracts with an RFID software firm to use its products, it pays a seat license, a monthly or annual fee, or buys the software outright. I have also heard of charges being incurred based on read events processed. So you might pay a penny each time a tag is read during a significant event (say, if a tagged object moves through a portal).

There is no average for any of these, as each contract is negotiated individually and depends on many different factors, such as whether the software company was involved with the deployment and received systems-integration revenue, the number of facilities involved, the number of users and so forth.

Royalties might be paid if, for example, a systems integrator wanted to resell software created by another firm. Again, though, this would be negotiated separately with each company, so there are no averages.

—Mark Roberti, Founder and Editor, RFID Journal

Login and post your comment!

Not a member?

Signup for an account now to access all of the features of RFIDJournal.com!

Next Post
How Can I Read Tags Through Burlap?
Previous Post
Can a Passive Reader Be Used to Interrog...
PREMIUM CONTENT
Case Studies Features Best Practices How-Tos
RFID JOURNAL EVENTS
Live Events Virtual Events Webinars
ASK THE EXPERTS
Simply enter a question for our experts.
TAKE THE POLL
JOIN THE CONVERSATION ON TWITTER
Loading
RFID Journal LIVE! RFID in Health Care LIVE! LatAm LIVE! Brasil LIVE! Europe RFID Connect Virtual Events RFID Journal Awards Webinars Presentations
© Copyright 2002-2016 RFID Journal LLC.
Powered By: Haycco