Unity is transitioning as CEO John Riccitiello resigns after the company's Runtime Fee controversy. Learn more about who will succeed him as Unity's President and the challenges that they will face.
Unity Announces Departure of CEO John Riccitiello
James Whitehurst Appointed as Interim CEO
John Riccitiello, President, CEO, and Chairman of Unity, one of the leading game development platforms, has announced his immediate retirement. Riccitiello, who previously served on Unity's Board of Directors, will continue to provide advice to facilitate a smooth transition.
James M. Whitehurst has been named Interim Chief Executive Officer, President, and member of the Board, while Roelof Botha, the Unity Board's Lead Independent Director, has been named Chairman. The company is actively searching for a permanent CEO.
James Whitehurst is an IBM veteran who served as President during the company's acquisition of Red Hat, the world's top provider of open-source software solutions.
Mr. Botha appreciated Riccitiello's achievements, highlighting his crucial part in guiding the business through difficult situations since he assumed leadership in 2014. The change from a perpetual license to a subscription model, the addition of new game services, a successful IPO, and the establishment of Unity as a pathfinder in the developer community were all significant accomplishments during Riccitiello's tenure.
Leadership Transition Amidst Developer Concerns
Riccitiello's resignation comes after recent criticism over Unity's price structure policy adjustment, eroding trust among game makers. Many in the industry have expressed doubts about Unity's ability to keep their commitments and mistrust about changes that directly affect PC and console creators.
The frustration reached a boiling point when a group of game development studios, including Azure Games, Voodoo, Century Games, and others, wrote a letter announcing their decision to halt all IronSource and Unity Ads monetization until the changes are again examined. The letter harshly condemned Unity's proposal to adopt installation-dependent fees on January 1, 2024, calling it a unilateral move undertaken without industry participation. They disputed Unity's claim that the 'Runtime Fee' would only affect a small percentage of the business, calling it misleading and false.
Unity apologized and changed the Runtime Fee policy in reaction to the uproar. However, by that point, they had already harmed their standing in the developer community.
Industry watchers are eagerly watching Whitehurst and Botha to see how they will handle the company's current state of instability. Unity's future appears to be in doubt, and uncertainty is looming. Undoubtedly, the corporation will face a crucial period in the following months as it works to win back the community of developers.
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Unity Announces Leadership Transition
Collective Letter from Development Companies
