Unity Announces Another Round of Layoffs

Unity has announced a further round of layoffs, less than two months after its previous job cuts, that’ll see it eliminate roughly 25 percent of its total workforce – around 1,800 employees – as part of the “company reset” it unveiled at the end of last year.

Unity confirmed additional layoffs at the company were “likely” back in November, when it revealed it was assessing its portfolio “to focus on those products that are most valuable to our customers”. Shortly after, it announced it was ending its agreement with Weta FX, resulting in the loss of 265 jobs – the company’s fourth round of layoffs since the start of 2022.

A fresh round of layoffs at Unity – the largest ever at the company – has now been confirmed in a filing with the United States Securities and Exchange Commission. This time, around 1,800 employees will be affected, with the company saying the cuts come as it “restructures and refocuses on its core business” and seeks to “position itself for long-term and profitable growth.”

In a statement provided to The Verge, Unity confirmed the layoffs would impact “25% of our total workforce across all teams”, adding, “This decision was not taken lightly, and we extend our deepest gratitude to those affected for their dedication and contributions.”

Unity’s latest job cuts follow a turbulent 2023 for the company, in which it drew significant criticism from developers after launching a controversial new Runtime Fee policy that would see it charge for each game install. After a major backlash, Unity announced substantial changes to its plans, and president and CEO John Riccitiello retired from the company soon after.

2023’s brilliant year of game releases was, of course, significantly blighted by extensive layoffs across a huge number of studios, with the total number of workers affected believed to be around 9,500. Unity’s decision to cut 1,800 jobs is yet another major blow to the industry as 2024 gets underway.