WotC Announces OGL 1.1 -- Revised Terms, Royalties, and Annual Revenue Reporting

There has been a lot of speculation recently about WotC's plans regarding the Open Gaming License and the upcoming One D&D. Today, WotC shared some information.

In short, they will be producing a new Open Gaming License (note that the previous OGL 1.0a will still exist, and can still be used). However, for those who use the new OGL 1.1, which will be released in early 2023, there will be some limitations added with regards the type of product which can use it, and -- possibly controversially -- reporting to WotC your annual OGL-related revenue.

They are also adding a royalty for those third party publishers who make more than $750K per year.

Interestingly, only books and 'static electronic files' like ebooks and PDFs will be compatible with the new OGL, meaning that apps, web pages, and the like will need to stick to the old OGL 1.0a.

There will, of course, be a lot of debate and speculation over what this actually means for third party creators, and how it will affect them. Some publishers like Paizo (for Pathfinder) and others will likely simply continue to use the old OGL. The OGL 1.0a allows WotC to update the license, but allows licensees to continue to use previous versions "to copy, modify and distribute any Open Game Content originally distributed under any version of this License".

OGLs, SRDs, & One D&D

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1. Will One D&D include an SRD/be covered by an OGL?

Yes. First, we’re designing One D&D with fifth edition backwards compatibility, so all existing creator content that is compatible with fifth edition will also be compatible with One D&D. Second, we will update the SRD for One D&D as we complete its development—development that is informed by the results of playtests that we’re conducting with hundreds of thousands of D&D players now.

2. Will the OGL terms change?

Yes. We will release version 1.1 of the OGL in early 2023.

The OGL needs an update to ensure that it keeps doing what it was intended to do—allow the D&D community’s independent creators to build and play and grow the game we all love—without allowing things like third-parties to mint D&D NFTs and large businesses to exploit our intellectual property.

So, what’s changing?

First, we’re making sure that OGL 1.1 is clear about what it covers and what it doesn’t. OGL 1.1 makes clear it only covers material created for use in or as TTRPGs, and those materials are only ever permitted as printed media or static electronic files (like epubs and PDFs). Other types of content, like videos and video games, are only possible through the Wizards of the Coast Fan Content Policy or a custom agreement with us. To clarify: Outside of printed media and static electronic files, the OGL doesn’t cover it.

Will this affect the D&D content and services players use today? It shouldn’t. The top VTT platforms already have custom agreements with Wizards to do what they do. D&D merchandise, like minis and novels, were never intended to be part of the OGL and OGL 1.1 won’t change that. Creators wishing to leverage D&D for those forms of expression will need, as they always have needed, custom agreements between us.

Second, we’re updating the OGL to offer different terms to creators who choose to make free, share-alike content and creators who want to sell their products.

What does this mean for you as a creator? If you’re making share-alike content, very little is going to change from what you’re already used to.

If you’re making commercial content, relatively little is going to change for most creators. For most of you who are selling custom content, here are the new things you’ll need to do:

1. Accept the license terms and let us know what you’re offering for sale
2. Report OGL-related revenue annually (if you make more than $50,000 in a year)
3. Include a Creator Product badge on your work

When we roll out OGL 1.1, we will also provide explanatory videos, FAQs, and a web portal for registration to make navigating these requirements as easy and intuitive as possible. We’ll also have help available to creators to navigate the new process.

For the fewer than 20 creators worldwide who make more than $750,000 in income in a year, we will add a royalty starting in 2024. So, even for the creators making significant money selling D&D supplements and games, no royalties will be due for 2023 and all revenue below $750,000 in future years will be royalty-free.

Bottom line: The OGL is not going away. You will still be able to create new D&D content, publish it anywhere, and game with your friends and followers in all the ways that make this game and community so great. The thousands of creators publishing across Kickstarter, DMsGuild, and more are a critical part of the D&D experience, and we will continue to support and encourage them to do that through One D&D and beyond.

 

[MNblockhead]

This is a general problem in this hobby.
Most people just want it to be free.
Putting out a new edition?
They just want us to spend 150 dollars again for books we already bought 10 years ago.
Tell me a different hobby where you have to only spend 150 dollars every 10 years...

I mean, I get not wanting to shell out another 150 dollars when your current books are still playable. All for saving money. What I don't get is why some in the hobby get so hot and bothered by reprints and new editions. I mean, just don't buy them.

 

[MNblockhead]

Except you usually spend more than $150 and usually don't get ten years out of it.

Looks at 3E stuff and weeps.

You could have. You didn't have to buy the new edition books.

 

[MNblockhead]

I'm more in wait and see mode.

So am I. I'm not going to buy it sight unseen. If I don't like what I see when it is released, I can continue running games using the current rules and my home brew for many, many years.

New version of 5E may be released under new OGL or D&D beyond.

There's no PIzo like company waiting in the wings and the no poison pill like GSL. Convenient as OGL no and they can say you can still use it if you like for your own stuff.

Except Paizo is waiting in the wings. As are many other publishers. If people are really upset with the direction WotC goes in, there are plenty of alternatives available.

They can't revoke OGL they might be able to obsolete it.

To early to say atm.

Those if use who had negative vibes about "monetization" usually doesn't mean good things for the consumer.

I want WotC to monetize the hell out of D&D, so long as they are putting out content that I enjoy and services that are useful to me. If they don't, well, I won't buy it. About the only thing I'm worried about is WotC somehow blocking ways for me to import my DDB content in Foundry. If they do that, their VTT will need to be amazing with attractive pricing or my spend on WotC digital content will greatly decrease.

 

[MNblockhead]

It’s so weird how everyone says you can play with your old books forever and how no matter the price the books are cheap compared to the amount of fun you can have…and yet the vast majority of gamers simply shelve their old books the second new books are available.

Because they enjoy trying new rules? The new books are attractive for them? The cost is considered worth it? I can easily argue why it is rational for me to by the 1DD books when they come out, even though I've said many times that I could continue playing with the 2014 rules and my homebrew for many many more years. Buying the new D&D rules is a lot more easy to justify than the amount of TTRPG material that I've bought that has been sitting on my shelves for years unplayed.

 

[MNblockhead]

The question veas asked I've answered. Don't like the answer tough.

I've spent less in Paradix titles since 2009 than I've spent in 5E alone.

Added bonus I didn't not generally buy anything paradox related but online friends do.

Well I don't really pay money for D&D either tbf. Well not my money anyway.

Anyway it's less effort, more hours played and cheaper as well.

Due to lack of hours played these days I've had the "is it time to quit D&D" discussion.

I own Victoria 3 haven't played it yet. Cost me 0.

Really it just comes down to each individual looking at their own use. Seems silly to argue over whether the cost of a hobby is expensive or cheap relative to other hobbies when that is entirely dependant on how much time an individual spends on each hobby.

 

[MNblockhead]

You can see how your situation isn't universal, though, right? And it doesn't serve to undermine the position that D&D is among the cheapest hobbies out there when measuring expenditure to hours of entertainment, right? I mean, if we really wanted to quibble, wouldn't you have to include everything you have spend on your PC (or whatever you are using to play those games with)?

That fact that one's situation isn't universal is why this is kinda a silly argument. How much you get out of money spend on a TTRPG or a computer game depends on home much time you spend playing each.

Anecdotally, sure, I "feel" like most gamers get a LOT of value out of their TTRPG spend and that on a dollar to hour basis, the hobby is an incredible value. But then, also, anecdotally, I know that that many in the hobby buy a lot of material that they never play or even never even fully read. The spend may still be worth it in terms of the enjoyment of collecting games, but on a dollar per hour basis, these would not be a great deal.

In terms of other hobbies of mine where the dollar spend stretch out to more hours of enjoyment, there are several that come to mind: shooting my pistol at the gun range, reading, and guitar playing. But this is largely due to the fact that my TTRPG hobby is not just the core books, but lots of third-party materials, software licenses and VTT / DDB subscriptions, etc. Any my spend is absolutely dwarfed by those who get really into physical assets like minis, terrain, Beadle & Grim, etc.

To me, the great thing about the TTRPG hobby is that is CAN be incredibly cheap but can also expand into whole ecosystem of related hobbies (collecting, painting, writing and world building). It can size to fit all income ranges and fill as much or as little time as you want to dedicate to it.

 

[MNblockhead]

Building on this, thus far Hasbro/WotC have been quite interested in keeping the game super affordable to play and thus expanding the player base. They have not been great at getting my D&D money, though. As a miniatures and terrain enthusiast, I spend a fortune on D&D and a tiny fraction of that (less than 5%, mostly through DnDBeyond) goes directly to Hasbro. Most of it goes to Dwarven Forge, Wizkids, Steamforged, Archon, and others. Looking at your example, a chunk of your D&D money is going to Roll20.

So I get why they are putting out a VTT to try to bring more of that money in house, just as they bought DnDBeyond to do the same.

Yeah, I really hope that the movie is successful and that part of monetization strategy is for Hasbro to produce its own affordable miniature set. So much of the physical goods for the hobby seem targeted to adults with disposable income. I would love to see some lower production D&D plastic miniatures and terrain sets sold by Hasbro in the toy aisles of Target, Walmart, etc. that could be purchased for kids both just as toys and as D&D game aids. Seems strange that a toy company like Hasbro is leaving money on the table in this way. I suspect that the they don't see their being enough demand compared to better known IP. But if the movie does well, that could change.

 

[Minigiant]

They need that kind of carrot to get people to sign on. But yes, creating high-quality classes like that with real demand would be a good incentive.

Getting a class and 3-4 subclasses on DNDB can bring in 750K with a good pricing structure, At which you could negotiate the level of the split.

Plus it gets the weight of WOTC and Hasbro behind you in protection and use of IP.

 

[Reynard]

Getting a class and 3-4 subclasses on DNDB can bring in 750K with a good pricing structure, At which you could negotiate the level of the split.

Plus it gets the weight of WOTC and Hasbro behind you in protection and use of IP.

I don't think we have seen any indication that the new model is going to open up WotC's IP to 3PPs. Like, Kobold isn't going to be suddenly allowed to produce Eberron supplements willy nilly. That stuff is still gated behind other agreements (such as DMsGuild).

 

[FrogReaver]

Yeah, I really hope that the movie is successful and that part of monetization strategy is for Hasbro to produce its own affordable miniature set. So much of the physical goods for the hobby seem targeted to adults with disposable income. I would love to see some lower production D&D plastic miniatures and terrain sets sold by Hasbro in the toy aisles of Target, Walmart, etc. that could be purchased for kids both just as toys and as D&D game aids. Seems strange that a toy company like Hasbro is leaving money on the table in this way. I suspect that the they don't see their being enough demand compared to better known IP. But if the movie does well, that could change.

If the movie is successful they may focus more on ttrpg health than on potentially getting the community against them.