Unity Software scraps 'runtime fee' pricing policy, introduces price hikes

Unity Software

12/09/2024 17:54

Sept 12 (Reuters) - 
    Unity Software  U.N  is abandoning its "runtime fee" pricing
policy, nearly a year after its announcement sparked
considerable backlash from the videogame developer community.
  
    The maker of the Unity Engine software said in a blog post
on Thursday that it will revert to its "existing seat-based
subscription model for all gaming customers" and implement price
increases for its Unity Pro and Unity Enterprise subscriptions.
    Shares of the company were up around 7% in afternoon
trading.
    The controversial pricing structure, announced in September
last year, sought to charge new fees to game developers if
certain revenue and install thresholds were met. The changes
triggered a revolt among customers, hitting the company's share
price and prompting it to roll back some aspects of the policy
later that month.
    "It's our intention to revert to a more traditional cycle of
considering any potential price increases only on an annual
basis," Unity CEO Matt Bromberg said in a statement.  
   Unity Pro will see an 8% subscription price increase, while
prices for Unity Enterprise will rise by 25%. The changes will
go into effect on Jan. 1, 2025.
    Following the "runtime fee" debacle, Unity announced a
"company reset" cutting 3.8% of its global workforce and closing
offices in 14 locations across various countries.
   
   

 (Reporting by Zaheer Kachwala in Bengaluru; Editing by Tasim
Zahid)
 ((Zaheer.Kachwala@thomsonreuters.com;))