How Much Does A HOOPS SDK Cost?

Utilizing a Software Development Kit (SDK) is a strategic decision for your company. This is not a quick impulse purchase: you are selecting a critical software component that you will depend on for the next 10 to 20 years. You need a product that can grow and adapt with you, from a reliable and committed partner to supporting you and your success. 

The HOOPS Suite of products are designed to help in your creation of 3D engineering applications, from CAD Data Translation to 3D Web Visualization and Desktop Graphics all the way to publishing 3D PDFs. You’re here to answer one of the most important questions in the buying process: what does a HOOPS SDK Cost?

The simplest version of this answer: It will depend on you and your needs, but we will do everything we can to give you a ballpark estimate.

At Tech Soft 3D, we have helped over 700 different companies accelerate their 3D engineering software development with our SDKs. We believe in creating a Strategic Technology Partnership specifically tailored to you, and this includes the price.

Let’s discuss the various pricing options available to our partners and outline which might be best for you. This is unlikely to give you an exact number but it will help serve as a benchmark for your decision process and a springboard for your conversations with us. 

The Two Parts of HOOPS Licensing Fees

Whether you purchase HOOPS individually or as part of an integrated SDK like HOOPS Web Platform, the licensing fee has two parts: The Partnership Fee and the Distribution Fee, the latter of which has several different options.

Part One - Partnership Fee:

The Partnership fee is a set cost, paid either quarterly or annually, that begins when you sign an agreement with Tech Soft 3D for a HOOPS SDK and continues for the life of our partnership. This fee includes a site development license, continuous product updates, engineer-to-engineer support, and access to our consulting team.

Part Two - Distribution Fee

The Distribution Fee is the most variable part of a HOOPS SDK pricing. The numbers we will discuss here are guidelines that will depend on your industry, size, usage, and more. In our partnership process, we will spend time with you to learn about your application and distribution plan. Then, we will provide you with a custom proposal that is best suited to you.

Crucially, the Distribution Fee does not start until you start distributing your application. Our whole partnership ethos is based on mutual success and cooperation, and our pricing is intended to reflect that.

HOOPS products come with a minimum annual distribution of $20,000 per year.

The most common Distribution Fee models used are Revenue Share based on a percentage of Revenue, Flat Fee, and royalty per seat or user. 

1. The Flat Fee option is exactly what the name suggests: you pay a base cost to Tech Soft 3D, determined by a variety of factors including revenue, expected usage, size of company, support demands, and more. This fee is intended to grow with your company, either at a fixed rate based on your projected growth or a variable rate tied to your actual growth. 
   

2. The Revenue Share option will typically range from 3-7%,based on what SDKs you license and how you are using them. This range is a guideline for those who are planning to use our SDK as part of a larger application. 

   If HOOPS SDKs are used as an add-on or stand-alone with very little modification the distribution fee is 25%, to reflect our contribution. In these cases, the value our technology provides is a higher portion of the final product. 

   There are exceptions to these percentages, and we will work with you to customize this to your specific usage. 

3. Royalty per seat or user is a third option, offered to those who wish to pay an amount based on your per-software license usage. The best way to get an accurate pricing idea for this is to work directly with us, so we can know more about your organization.

Distribution Fee FAQs and More Information

How Are Distribution Fees Determined for Internal Use Applications?

Organizations that intend to use HOOPS products on a purely internal application will be charged based on the number of expected users. This is often done with an approximate number of users, used to generate a flat annual fee that grows with user count or a modest fixed percentage.

We Want a HOOPS Product but are Not Willing to Share Revenue Information. What’s Next?

We get it, for a variety of reasons, some organizations are not comfortable with or not able to share revenue with Tech Soft 3D. If this is your case, there are many ways we can make a licensing model to allow for mutual success and growth. We may have some questions, such as:

• Would you be willing to share the number of users or seats?

• Are you able to share your year-over-year growth?
  
  

No matter what, our team is happy to work with you to find what works within your constraints. Remember, we succeed when you do, and our goal is to be in this together. 

How Do You Count the Users of Cloud Applications?

While we normally do a percentage of revenue for Cloud Applications, we can create a royalty model based on a per-user method.

HOOPS Pricing Summary

It is essential to remember that we are committed to helping find a pricing model that works for your organization and ours. This is a complicated market and your company is unique in its needs and constraints: we understand that. This is intended to be a rough guide to our pricing for HOOPS products. You now have a better understanding of the options available to you and a framework to guide your decision-making process. 

In order to get a true picture, reach out and talk to us so we can learn more about you while you learn more about us.

We do business differently. We want to be your Strategic Technology Partner. To learn what it means to partner with Tech Soft 3D, check out the link below.