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We've created a new rulebook to describe the commercial license rules for the Hive service.
The rulebook has been added to the Cubee Terms and Conditions, is also brought to you here, in this article. Below you will find a short video explaining the rulebook, a short summary, and the rulebook itself.
Watch this Video, explaining the key points of the Rulebook
Why Was the Rulebook Created?
Hive is the first platform to introduce exclusive commercial licenses and royalty payments. Though we strongly believe this is an important addition that could revolutionize 3D printing commerce - things can get confusing.
We wanted to create a simple, clear document where the rules of Hive Commercial licensing are explained. This way there is full transparency between all parties.
We've also introduced new rules intended to align the interests of designers and license holders.
TL;DR - Important Rules to know Here are some of the most important rules introduced in the Rulebook:
Exclusive designs will remain exclusive for at least 6 months. After which - a design that did not collect enough royalties ($200 per month, by the end of these 6 months) can be made non-exclusive by the designer.
Exclusive sellers must report their sales monthly - even if no sales were made. failure to report, or pay royalties, for 3 consecutive months could result in license suspension.
The Full Hive Rulebook
The following is a document depicting the terms of agreement between Hive 3D Printing Designers, Hive commercial license holders and Cubee, regarding the commercial licensing of 3D designs via the Hive service.
It is created to transparently describe the relationship between all parties.
With Hive, designs fit into one of two types of commercial licenses:
Non-exclusive, royalty-free designs
Exclusive, royalty collecting designs
The different Hive plans grant access to different types of design catalogs.
Non-exclusive, royalty-free designs
(the HiveCommunity Library)
Non-exclusive, royalty-free designs may be available for personal use and commercial use on various platforms. Hive has a minimal ability to enforce design misuse, no royalties are collected on these designs and there is no limit to the amount of license holders for the designs. On Hive - they are available as part of a vast design library - HiveCommunity. HiveCommunity is an ever-growing design catalog that clients access through an affordable subscription model.
HiveCommunity is a curated catalog, only accepting high-quality designs fit for 3D printing & selling.
Clients receive a royalty-free commercial license to all the files in the catalog.
30% of profits go to the designers, 40% to marketing the library, and 30% to Cubee to maintain, run and expand the service.
Profit distribution between designers is determined by model clicks, downloads, new uploads, and user interaction. The algorithm is fully transparent to the designers.
Designers upload up to 5 designs per month.
Designs will stay on the catalog for at least 1 year and as long as the designer is part of the service (enabling clients to invest in products).
Designs will be unique, and the designers will be the creators of the design.
Ownership of the designs will remain the sole property of the designer hands.
The design can be made available on other platforms as the designer wishes.
Exclusive, royalty collecting designs
(HivePlus+ / HiveUnlimited)
Exclusive, royalty collecting designs are part of design catalogs that are open to a limited number of sellers worldwide. These designs are available for commercial use only on Hive, and Cubee can better monitor and enforce design misuse. Designs can be available for personal use on other platforms. Clients can enjoy low competition on these designs, and in return pay royalties on sales of exclusive designs, enabling the designer to profit from popular designs without distributing the asset to too many sellers (flooding competition and driving down prices).
On Hive, the exclusive catalogs are available as part of the Hive+ plan (where specific catalogs are selected by clients) or Hive Unlimited (where all exclusive catalogs are accessed under 1 library). The plans also include access to media content (provided by the designer), business support for Hive and access to the Hive seller community.
Clients receive a commercial license to an exclusive catalog .
only 50 sellers worldwide have access to any Hive+ Catalog. In addition, HiveUnlimited sellers have access to all Hive+ catalogs.
Hive+ subscribers are required to report their sales at the end of each month and transfer 10% of royalties through the Hive trust-based software.
Any Hive+/Unlimited subscriber will also have access to Hive Community.
Cubee is in charge of providing business & technical support to the subscribers.
Cubee also monitors online sales activity to detect and act against design abuse.
Designers will be available to chat with Hive+ members through a designated Discord channel run by Cubee.
80% of profits from royalties go to the designers, and 20% go to Cubee to maintain and run the service. Profit distribution from subscriptions are split between designers, marketing budgets, and Cubee.
Uploading Products to the Exclusive Catalog:
Designers have full control over how many designs they add to their Hive+.
Designs will be unique, and the designers will be the creators of the design.
Ownership of the designs will remain sole property of the designer hands.
The designs can be sold on any other platform for personal use - but commercial rights to the designs will be offered exclusively through Hive+ (to protect seller exclusivity).
Designs will stay on the catalog for at least 6 months and as long as the designer is part of the service.
After 6 months, designs that have failed to gross $200 in monthly royalties can be downgraded to non-exclusive, and be sold for commercial-use on HiveCommunity and other non-exclusive and platforms - pending the designer’s decision.
Downgraded designs must still be available to Hive+/Unlimited subscribers, but will no longer be subject to royalty payments.
Sold Out Catalogs
Once an exclusive catalog sells out for the first time, Hive and the designers have the right to alter the pricing for new subscribers (who join if existing members leave).
Once a catalog is sold out, Designers can create waiting lists for new subscribers. Designers can then determine license allocation for vacant spots depending on geographical location, business size, social media presence or any other preference they choose.
Reporting Royalties
Client’s who hold exclusive commercial licenses (Hive+/Unlimited members) must report their sales every month on CubeeTrust. Sales are reported on their previous month.
If no sales were made, clients must report “No Sales”.
Reporting is intended to help designers grow and to create data reports that allows clients and designers to learn which products are selling and which are not, and to grow.
Designs that do not collect royalties can be removed from exclusivity by the designer after 6 months.
Accounts of non-responsive clients can be frozen and suspended after 3 months of no reporting.
Accounts that report no-sales for six months or more may be suspended/switched to a personal use account by the designer in order to make room for new, active license holders.
Sellers only have a license to sell the designs while their license plans are active.
Giving Proper Credits
Sellers must mention the designer on all posts and product listings.
Sellers must mention that they are a Hive Authorized seller on all sale platforms at least once.
Protecting Designers Rights
Designs cannot be modified, remixed or derived from without prior approval from the designers.
Designs cannot be shared, either publicly or privately with others.
Accounts found in violation of these can be frozen or suspended without warning.
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