Unity Technologies, the world-renowned game engine and development platform, has announced a probable workforce reduction. The decision comes as the company evaluates its product portfolio to focus on the most valuable offerings to their customers, a strategy they describe as a “customer-first business model.”
The announcement was made in the company’s Q3 earnings report document, as reported The Verge. Unity stated that the “interventions,” including layoffs, are expected to be completed the first quarter of 2024. The company has yet to determine the exact timing and date of the layoffs and other interventions.
The move follows a mixed Q3 profit report, with the company’s total revenue amounting to $544 million, marking a 69% year-over-year increase.
Unity Technologies detailed its future actions to strengthen performance and drive revenue, focusing on tighter integration for its “create solutions and grow solutions” organizations, as well as Unity’s “Editor, Runtime, and Monetization Solutions,” with a goal of becoming a “leaner, more agile, faster growing company.”
This announcement is part of a recent trend of game development companies and big tech firms conducting widespread layoffs. Ubisoft Montreal, Epic Games, and the developer of Cyberpunk 2077 have all implemented staff reductions.
Forbes reported in January that the recent layoffs across big tech companies are attributed to a reversal of employment practices implemented during the COVID-19 outbreak, as well as the increased utilization of AI and automation within these businesses to automate routine tasks.
The recent trend of layoffs in the tech industry underscores the evolving landscape and challenges faced major players in the field.