Probably not a comment post will like to hear; but I pulled Unity’s financial statements and they lost 600 million for the 3 quarters ended 9/30/2023 (which would be based on revenue from before the install fee announcement). These losses increase each year fairly proportionately to their increases in revenue each year which shows the historical business model will not allow profitability based solely on increased sales, the business model needs to change because without profit the Corp would go out of business. The install fee was a way to boost revenue (even though I don’t agree with it either) and since that causes backlash, then the only options they have are to increase the licensing fee itself as a base or cut expenses. As labor is almost always the largest expense for an org, the expense cuts lead to layoffs. Unity can not continue to operate as it did in the past as it was loosing too much money; it’s own returns would not cash flow is operating activities, if investors pull out, Unity Software Inc would go belly up
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Re: Unity Software to Cut 1,800 Jobs in Wake of Runtime Fee Fiasco
Probably not a comment post will like to hear; but I pulled Unity’s financial statements and they lost 600 million for the 3 quarters ended 9/30/2023 (which would be based on revenue from before the install fee announcement). These losses increase each year fairly proportionately to their increases in revenue each year which shows the historical business model will not allow profitability based solely on increased sales, the business model needs to change because without profit the Corp would go out of business. The install fee was a way to boost revenue (even though I don’t agree with it either) and since that causes backlash, then the only options they have are to increase the licensing fee itself as a base or cut expenses. As labor is almost always the largest expense for an org, the expense cuts lead to layoffs. Unity can not continue to operate as it did in the past as it was loosing too much money; it’s own returns would not cash flow is operating activities, if investors pull out, Unity Software Inc would go belly up