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UNITY CEO JOHN RICCITIELLO STEPS DOWN, EFFECTIVE IMMEDIATELY


Emily Spindler
1 day ago
October 10, 2023 at 10:58 am

John Riccitiello will step down from his role as CEO of Unity, effective
immediately, following weeks of public outcry related to announced changes to
the company’s game engine pricing. The controversy surrounding the planned
pricing model was not mentioned as a reason for his departure from the company,
but given the amount of noise about Unity’s proposed changes in recent weeks,
it’s likely to have been a contributing factor.







The Unity board of directors shared a statement announcing Riccitiello’s
departure, and also confirmed that James M. Whitehurst will be the Interim Chief
Executive Officer, President, and board member until Unity “[identifies] a
permanent CEO.” In order to “ensure a smooth transition,” Riccitiello will
continue to advise Unity.



The statement thanked Riccitiello for his work since joining the Unity board
over ten years ago, and said at the time he stepped in to lead the company in
2014, Unity “faced significant challenges. Roelof Botha, the newly–appointed
Chairman of the board, said: “John has led Unity through incredible growth over
the last nearly 10 years, helping us transition from a perpetual license to a
subscription model, enabling developers to monetise, building other game
services to serve our creator community, leading us through an IPO and
positioning us as a pioneer in the developer community. Unity would not be where
it is today without the impact of his contributions.”



Riccitiello himself thanked Unity for his time at the company as well. “It’s
been a privilege to lead Unity for nearly a decade and serve our employees,
customers, developers and partners, all of whom have been instrumental to the
Company’s growth,” he said, “I look forward to supporting Unity through this
transition and following the Company’s future success.”



Whitehurst said he anticipated a “seamless transition” as Riccitiello steps
down, with Unity confirming the company’s “guidance” for the next financial
quarter would not be changing in light of the leadership change.



Unity came under fire in September when it announced plans to implement a
runtime fee from January 1, 2024. The fee would have seen developers charged for
individual game installs above a certain threshold. At the time, Unity said the
runtime fee would be applied retroactively to games that met the revenue and
install thresholds. This announcement led to an overwhelmingly negative response
from the game development community around the globe, given the fee would make
using Unity impossible for smaller studios who could not afford to retroactively
shell out for additional fees. Initially, this also appeared to encompass
players who uninstalled and re-installled a game.



Unity quickly walked back a majority of the policy, including its retroactive
nature, and apologised for announcing such massive changes with minimal
consultation. While the changes did alleviate some concerns for game developers,
industry goodwill with Unity remains low — not helped by reports that John
Riccitiello sold around 2,000 shares in the company the week prior to the
runtime fee announcement.



Whether this changing of the guard is the shot in the arm Unity needs to pick up
the pieces after a frankly pretty horrific month is up for debate. At the very
least it looks like they’re hustling to try to recapture the trust of a pretty
disgruntled developer community right now.



Lead Image Credit: Unity


MORE FROM KOTAKU AUSTRALIA

 * Unity Bosses Sold Stock Ahead Of Scummy Dev Fees Announcement

 * Unity CEO Promises To ‘Do Better’ After Calling Some Game Devs ‘F*cking
   Idiots’

 * Unity CEO Calls Mobile Devs Who Don’t Prioritise Monetisation ‘Fucking
   Idiots’

 * Sources: Unity Laying Off Hundreds Of Staffers


RELATED TOPICS:

au
unity
john riccitiello
unity controversy

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5 RESPONSES TO “UNITY CEO JOHN RICCITIELLO STEPS DOWN, EFFECTIVE IMMEDIATELY”

READ THE COMMENTS
 1. Boxhead
    October 10, 2023 at 12:34 pm
    
    I don’t think getting rid of him will do much unless they stop with the
    Corpo speak and honestly comes to the developers and community and explain
    how they will guarantee Unity’s future… cause developers are not willing to
    risk 2-3 year game projects in a company that only sees fiscal quarters
    
    Reply
 2. Old Greg
    October 10, 2023 at 10:53 pm
    
    “John Riccitiello will step down from his role as CEO of Unity, effective
    immediately”
    
    Funny way of saying he was sacked. lets all hope the door hits him on the
    way out.
    
    Reply
 3. Kasterix
    October 10, 2023 at 11:55 pm
    
    Yeah that ‘Riccitiello will continue to advise Unity’ is still a nice red
    flag, I don’t care how necessary it is or how its framed.
    
    Though honestly, if I was a current Unity dev damn near all of the upper
    management would have to be purged before I would stop waiting for their
    reveal of their next party trick designed to screw me over.
    
    Reply
    1. Boxhead
       October 11, 2023 at 9:31 am
       
       Bigger red flag is the smooth transition is to hand reigns over to the
       new acting CEO Whitehurst, who turns out to be the person responsible for
       getting investment capital that funded the billion dollar purchase of
       Ironsource, the advertising and monetisation company last year… so cut
       from the same greedy cloth!
       
       Reply
 4. Elrond Hubbard
    October 11, 2023 at 2:31 am
    
    “helping us transition from a perpetual license to a subscription model”
    Thanks
    
    Reply


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