Royaltiesbased
royaltiesbased is a term used to describe a business model or payment structure where revenue generation is directly tied to the ongoing collection of royalties. This model is prevalent in industries such as music, publishing, software, and patent licensing. In a royaltiesbased system, creators or owners of intellectual property grant others the right to use their work or inventions in exchange for a percentage of the revenue generated from its sale, distribution, or use.
This can take various forms. For instance, a musician receives royalties every time their song is played
The key characteristic of a royaltiesbased model is the continuous stream of income generated over the lifespan