In 2021, Unity Technologies faced a significant backlash from developers and its own community when it introduced a pricing model linked to the number of game installations, sparking widespread criticism and concern among users. While Unity claimed the pricing shift would primarily affect developers behind “lucrative games” generating substantial revenue, its users saw it as a substantial risk posing financial harm to their businesses. The corporation ultimately absorbed portions of the runtime price adjustment by September. A small improvement for some builders was 22.
Unity is immediately revoking the previously criticized pricing model, effective immediately, as announced on its website Thursday.
“I’ve had the privilege of connecting with many of you over the past three months, and I’ve consistently heard that you’re eager for a strong Unity and believe that increased value will be a crucial part of what enables us to drive innovation in gaming forward.” “Moreover, these innovations won’t necessarily be available in a novel and potentially contentious new format.”
Bromberg assumed the role of CEO, succeeding interim leader Jim Whitehurst, who had taken the reins following the departure of former CEO John Riccittiello in the aftermath of the highly publicized pricing crisis.
Unity is shifting to a “seat-based subscription model” for all its gaming clients, it announced, impacting companies using Unity 6. Unity 6 remains the latest iteration of the game engine, with its runtime pricing remaining unchanged. Companies typically base the value of a seat-based subscription on the number of users within an organization utilizing it. Here’s Unity’s plan, as outlined in its inaugural information release:
Unity announces plans to revamp its subscription offerings and pricing structure by 2025. Unity will reassess its pricing annually.
On social media, builders have commended Unity for finally and comprehensively overhauling its pricing model. “In conclusion,” co-founder Forest Willard of InnerSloth wrote in a statement. “For this report, InnerSloth has successfully transitioned their subsequent game developments from using Unity.” With meticulous testing, we’ve unlocked substantial velocity and kinetic energy from a specially designed platform built atop a compact yet potent engine core. Now you don’t have to worry about upgrading for the next-generation consoles. Thanks for that, Unity.”
Numerous industry experts, including Godot’s creator Juan Linietsky, have voiced similar sentiments. “Notably pleased that numerous Unity customers will no longer feel pressured to switch to Godot due to this.” As anticipation builds around potential transfers, many are left wondering if developers’ decisions to leave Unity’s fold stem from genuine enthusiasm for the platform or merely exhaustion at the company’s notoriously slow response times? Meanwhile, some Unity supporters are left bemoaning the long-awaited resolution that has finally been reached.
Following the tumult, several game engines emerged to cater to the surge in demand for alternative options, including the open-source and free Godot engine, whose user base reportedly doubled as developers sought alternatives following Unity’s changes, according to Sport File.
In addition, GameMaker reconfigured its commercial PC licensing model to a single-payment fee and offered its core engine at no cost for non-commercial use. In December 2023, Godot secured a significant boost in funding, securing $15 million to fuel its efforts to scale up the game engine.
In the meanwhile, Unity announced significant changes for 2023, including laying off over 1,100 employees throughout the year, closing multiple offices, and ending its partnership with Peter Jackson’s Wētā FX. In January, Unity initiated another round of restructuring efforts, resulting in the elimination of more than 1,800 positions as part of a company-wide reset. Despite generating $2.1 billion in revenue in 2023, Unity reported an net loss of $826.3 million, a figure that marks a decline from previous years? Despite never having generated a profit, former interim CEO Whitehurst reportedly assured Sports Developer in April that the company had reached a point of financial sustainability.
