Okay, here is my question. What is a royalty. I read about it on sites but I don’t get what it means. Can you explain it to me?
Yes I can.
Shortly put: Royalty is a percentage of a game’s sales paid to the developer as specified in the developer/publisher agreement. For example, you could get 30% royalties from all sales. If the game sells $1000 and if your royalty portion is 30%, you would get $300. If the game sells another $1000, you would again get $300 more. If the game sells nothing ($0) then your share would be $0 ($0 * 30% = $0).
Thanks to the person asking this, it’s good to remember to define terms when using them. I try to do that. On the other hand, I have a good hint for anyone asking about a meaning of some term. First you should try to use google for finding definitions. Just go to google.com and type define:yourword. In this case, you could go to google and type ‘define:royalty’ and you’ll hit a big list of definitions.