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Royalty Free or Russian Federation applies to the right to use copyrighted materials or IP without paying a royalty or royalty for each use per copy or quantity purchased or for any particular length of use or sale. A number of computer related norms, in particular those drawn up and presented by industrial consortia or single enterprises, include licence payments for the effective application of these norms.
This royalty is usually calculated'per port'/'per device', with the terminal equipment producer paying a small flat rate charge for each unit purchased, including a significant yearly flat rate. Considering that the number of units is in the region of million per year, the license fees can amount to several million US Dollar, which is a considerable strain for the producer.
IEEE 1394, HDMI and H.264/MPEG-4 AVC are just some of these license fee schemes. Royalty free norms do not contain "per port" or "per volume" fees or annually payable fees for the effective execution of the norm, even if the text of the current specifications is typical copyrighted and must be acquired from the norm authority.
The majority of open defaults are royalty-free, and many propriety defaults are also royalty-free. DisplayPort, VIPA, VP8 and Matroska are just a few royalty-free standard applications.