I disagree. There are tons of licenses like this. Amazon S3 buckets for example. The fact is when you run real numbers and not-crazy edge cases. The numbers are pretty reasonable and less than what you'd pay in common royalty %. Unlike royalties these payments are one-off.
The crazy thing is people think that Unity can develop a game engine on subscriptions only considering the cost of software development. And hey if they don't like it they can go and get some royalty-free no subscription experience with GODOT.
Or pay more with Unreal.
Should not be based on a royalty system like this when they do no work. What they should do is if you hit you for a percentage at time of final for the game for the amount of sales. They provided the tool than get a percentage but the per install is a system that I suspect will be abused badly! One bad actor could bankrupt a developer by using VMs and doing install.. change VM a bit.. reboot VM it has a new id.. install. AI script written could bankrupt a developer over time with the numbers alone.
1. Every update (new install)
2. Person gets a new drive which is common anymore (new install)
3. Upgrade hardware so hardware ID changes enough (new install) (proven by Windows itself with activation)
4. Person downloads does not like game requests refund in time limit on Steam (install with no income)
5. Piracy (popular game new install)
6. Every Demo (new install)
7. It has to phone home (affects players PC) Now player goes to a new city or state (probably phone home get detected at a new region) (new install)
8. Someone does not like developer or studio uses AI bots to do multiple installs on VM systems (new installs)
With this type of potential abuse and you can ONLY take the word for it from Unity you could get stuck with a very large bill making you bankrupt as a developer! This system is only asking to be abused by Unity to make money and others to break or destroy developers themselves.
Unity knows what they are doing and they sure as HELL know how this can be abused and that abuse is ONLY in there favor they have no reason not to use it. It is only there word when they bill you for installs when you know that there is no way you sold that many but what are you going to do to fight a large corporation? No I would never trust them if they wanted to be fair it would be a percentage of sales just like any patents do when they patent your product they take a percentage. So if game sold $100K than it should be based on a percentage of what would be considered the profit after development cost like any real product would.
Now the overall goal is to make money as a company so the ONLY reason to do such a license is that the numbers show that this will make them money. Only they know the true numbers that ANY game install gets. So they know that in reality most games hit over 200K so they can make money this way or they would not do it. They can claim oh you had 300K installs so your game sold for this month so you made more than 200K. Is it in there interest to remove every piracy of a game? No these corporations are not your friends so your trusting them on an honor system I sure as hell would not.