The landscape for game engine giant Unity has been turbulent, marked by controversial decisions under former CEO John Riccitiello. His tenure saw friction build, notably with public statements criticised by developers and the deeply unpopular runtime fee proposal. This plan, which aimed to charge developers based on game installs, ignited significant backlash within the game development community, contributing to a leadership change. Here at Digital Tech Explorer, we understand how crucial engine stability and fair policies are for developers, making this ongoing story essential viewing.
New Leadership Addresses the Conflict
Enter Matt Bromberg, Unity’s new CEO, tasked with navigating the aftermath. In a recent interview, Bromberg didn’t mince words about the situation he inherited, stating, “We were at war with our customers, effectively, when I arrived.” He labelled the conflict “insane,” acknowledging the need for immediate repair. Under Bromberg’s initial guidance, Unity decisively reversed the controversial runtime fee. This move was coupled with significant restructuring, including substantial layoffs, as the company began efforts to mend its relationship with developers and refocus its strategy.
Critique of the Previous Business Model
Bromberg offered a sharp critique of the philosophy behind the runtime fee. He stressed that value should originate from genuine product value that justifies customer payment. He characterized the runtime fee not as a value proposition but as a “business model trick” or a “hack.” Bromberg argued the fee was an attempt to manipulate “business dynamics”—forcing developer behaviour via pricing—instead of improving the Unity engine or offering tangible user benefits. “That has nothing to do with creating value,” he asserted.
Strategy for Rebuilding and Restructuring
To chart a new course, Bromberg detailed a clear process. The initial step involved “reorient[ing] ourselves around being good partners” and genuinely listening to customer feedback by actively engaging with developers. The restructuring extended beyond layoffs; Bromberg highlighted the necessity of leadership changes, arguing that retaining the existing management while reducing staff would be “soul destroying.” He maintains that achieving different results requires altering both the company culture and its leadership. Regarding the runtime fee, Bromberg confirmed he knew its reversal was necessary even before formally becoming CEO, but stressed the importance of a methodical approach post-customer consultation to signal a commitment to “do things differently” through discipline, communication, and execution.
Justifying Current Pricing and Future Challenges
Even with the runtime fee rescinded, Unity must still generate revenue, leading to adjustments in its current pricing model. Bromberg acknowledged some community “tension” regarding the revised pricing but framed it as essential for reinvesting in the engine’s development. He noted that developers typically face charges only after achieving significant commercial success, with the cost representing a reasonable portion of their earnings. “In general, our customers and the community understand that in order to invest in the engine, it’s important for us to be able to charge folks,” Bromberg stated. Nevertheless, regaining developer trust remains a critical ongoing challenge, particularly after the intense fallout saw even developers not using Unity lend support to competing engines. Rebuilding that confidence will demand consistent effort and a clear demonstration of value moving forward.