Licensing Fees
Personal computer platforms (such as Linux, Mac OS, and Windows) are traditionally financially more accessible to independent game developers than video game consoles. Aside from basic development costs, console game developers are required to pay fees to license the required Software Development Kits (SDKs) from the console maker. Manufacturers often impose a strict approval process and take a percentage of the game's net profit in addition to yearly developer fees. To develop for Nintendo Wii, Xbox 360, or PlayStation 3 requires an SDK license fee of between US$2,000 and $10,000, in addition to yearly developer fees and profit cuts, although development for Xbox Live Indie Games only requires a $99/year Creators Club membership and Microsoft takes 30% of sales. Microsoft does provide a free membership to the Creators Club to students via the DreamSpark program. Indie game developers can also use homebrew development libraries, which are free of charge, and usually open source.
Read more about this topic: Independent Video Game Development