MPEG Surround License Fees


Licensed Products (Other than PC Software) - "Standard Rates"

Consumer Products
Volume (per unit1/annual reset)Per Unit Fee
For the first 1 to 500,000 units$0.49
For units 500,001 to 1,000,000$0.38
For units 1,000,001 to 2,000,000$0.31
For units 2,000,001 to 5,000,000$0.26
For units 5,000,001 to 10,000,000$0.21
For units 10,000,001 to 20,000,000$0.12
For units 20,000,001 to 50,000,000$0.10
For units 50,000,001 or more$0.075
1 Binaural products count as 0.5 units (see below)

MPEG Surround Binaural Mode
Products that implement only the binaural mode of MPEG Surround count as half-a-unit for the purpose of license fee calculations. For example, if a licensee ships 5,000 licensed products, and 3,000 of these are binaural (stereo output only), then the total cost would be $1,715, calculated as (2,000 + (3,000/2)) * 0.49.


Professional2 Products
Decoder ProductsEncoder/Codec Products
Per Unit Fee$2.50$25.00


PC Software
Consumer PC Software
Decoder ProductsEncoder/Codec Products
Per Unit Fee$0.25$0.50
Maximum Annual Payment$32,000 per PC Software Product$172,000 per Licensee

Professional PC Software
Decoder ProductsEncoder/Codec Products
Per Unit Fee$2.50$25.00
Maximum Fee per PC Software ProductN/ANot to exceed 2.5% of end-user price

2A Professional Product is intended primarily for an end-user's direct revenue-generating use or intended to serve as a main resource to generate revenue for end-users, including monitoring and testing equipment.