Per the CEO in today’s meeting:
“This is a ploy to gather more people to use Level Play [advertising network]. The mediation provider [advertising network] makes a cut off every ad, and right now a lot of people are on AppLovin Max [not Unity’s], so a big part of this is they want people to switch to Level Play, and by doing that they’ll make way more than the install pricing they’re suggesting. It’s too early to panic, but it is a big change”
If that sounds like a ramble, it’s because it was, but the tl;dr is it seems Unity is giving a secret pass to companies that switch to use Unity’s advertising solution.
Also some quick fun facts:
- Unity was never profitable
- Unity gave up competing with Unreal over a year ago
- Godot is a free and open source engine that competes with Unity professionally
- The trash App Store/Play Store games spy on you extensively, although Apple and Google have significantly limited their spying ability over the last couple years (i.e we used to open your camera in the background, can’t do that anymore)
Update:
CEO is in talks with some Unity folks. The impression is “this decision came from very high up in Unity” from an exec who “had no idea how bad of an idea it was”. We’re expecting a public revision shortly (next couple days)
Unity the game engine wasn’t profitable or Unity the company? I cannot believe that Unity the company wasn’t raking in tons of money from their asset store.
It was raking in tons of money, especially since 2020 (772 million for that year), but they somehow were spending way more than they were earning for most of their existence. Beats me how/where that money was being spent. https://investors.unity.com/financials/quarterly-results/default.aspx
It seems Unreal that unity is in the red. They create a software platform and asset store, right? That should effectively print money; it’s not like there’s a manufacturing cost and profit margin to selling more copies.
If you assume the average employee makes $100,000, which is almost certainly an undershot given that they’re a tech company with a lot of very talented engineers, then their labor costs in salary alone are around $770,000,000, without factoring in things like infrastructure costs, land, health care, etc etc. Sure, they don’t have direct manufacturing costs after engineering, but that’s a lot of revenue needed just to cover direct labor costs.
From just a little perusing, it seems like they’re investing heavily into R&D, and they also have quite a lot of debt. This isn’t necessarily a bad thing, or at least not misaligned with their goals. Especially in tech, the aim often isn’t to become directly profitable as quickly as possible, but rather to invest every last penny you can get your hands on in order to grow as much as you can, and then when you hit ceiling, pivot to stable profitability, which will be at a much higher level than if you’d been forced to instead focus on slower growth and immediate profit.
That’s not to say that this is a good thing or that it doesn’t have negative consequences, only that Unity probably doesn’t care about being in the red; they care about lots and lots of people using their engine.
If you assume the average employee makes $100,000, … then their labor costs in salary alone are around $770,000,000
How in the name of fuck does Unity have 7700 employees?!
Why shouldn’t it? It’s not only a game engine, Unity is also trying to place their technology in the movie industry and in the manufacturing industry. And they are also operating an ad service, which is also requiring sales people.
Unreal is better than unity? I know it’s a loaded question, but in general how do they compare?
On the surface level Unreal has it beat for features. However, Unity is generally considered more lightweight plus being easier and less clunky to code for.
Over the years that’s been changing though. With more half-finished bloat being added plus PR disaster’s like this, open-source alternatives like Godot are becoming more popular for those who still don’t want to use Unreal for whatever reason.
Thanks for the substantive reply!
The general consensus I’ve heard is that Unreal is better for 3D, Unity for 2D, but this knowledge was from 2020-ish.
Very few AAA titles are made with Unity. Many are made with Unreal. I guess Unity never really made it into that market.
Unity started off by appealing to hobbyist and indie developers, and that’s remained their core audience. It’s only been more recently that they’ve seen some larger studios embrace them.
Then again, the AAA market never really made it into the mobile landscape. That’s where you’ll find the vast majority of Unity releases
A lot of those AAA unreal games are plagued woth performance issues and shader stutter on PC. Unreal has a lpt of good in there, but it’s not all good. Nanite will only contribute in making games even larger than they already are.
Unreal has 3D features that no other (public) engine has, e.g. Lumen (relatively cheap global illumination) and Nanite (dynamic LOD system) and is miles ahead of unity in this area.
Also, if you want to see how people feel on the forums: https://forum.unity.com/threads/unity-plan-pricing-and-packaging-updates.1482750/
tl;dr: they’re quite displeased to the tune of 100+ forum pages.
The impression is “this decision came from very high up in Unity” from an exec who “had no idea how bad of an idea it was”
Said exec is a crystal-clear case of the Peter Principle: being promoted to the point of incompetence.
Truly, a person who totally deserves their pay /s