Unity Technologies, also known as just Unity, is one of the most successful and well-known video game engine developers in the entire industry. With a plethora of titles that boasts its in-house engine, the company’s portfolio is impressive in an of itself. Unfortunately, this long-term success did not equate to whatever was going on in terms of statistical issues and what the higher-ups’ current plans were. Initially reported by the Wall Street Journal, Unity is laying off roughly 600 employees, their third round of layoffs in less than a year. That cut’s approximately 8% of the company’s workforce and leaves around 7,000 still intact worldwide.
Unity’s CEO and President John Riccitiello, who is also the former President of EA, told the Wall Street Journal that the layoffs were necessary, adding that the end game for this is “all about setting ourselves up for higher growth.” Riccitiello adds that this will also allow them have more direct contact with the developers, and remove the middle managers which Riccitiello refers to as “too many layers.” Unity is also planning on having employees return to their offices for official in-studio work at least three times a week starting in September. With more than 600 people now gone from the company, some of those offices will not have people returning to them.
On top of all this, Unity is also planning on reducing their overall office count, which is currently at 58 worldwide. They’re hoping to lower that number to roughly 30 in the coming years, which will also potentially set off another wave of layoffs. As we mentioned earlier, this is the third round of layoffs for Unity. The first was back in June 2022, where they laid off 200 employees, whereas the second, which was just this past January, they laid off 300. Now, that number has tripled, with 600 employees out of a job and possibly more to come in the foreseeable future. This is especially astounding since the company also posted its first profitable quarter since they went public back in 2020.