Unity dumps the runtime fee that caused a developer revolt
The game engine maker is focusing on its subscription model.
Unity has ditched a controversial fee it was charging game developers. The game engine maker says it’s focusing on its seat-based subscription fee (i.e. an annual payment for each person using the software at a studio), though there will be a price increase for Pro and Enterprise users.
The company announced the runtime fee a year ago. Initially, it was going to make developers pay up every single time someone downloaded one of their games after certain thresholds were met. The backlash was swift and intense, with some industry figures suggesting that it would make Unity unviable for indie developers. Many developers (some of whom were years deep into making a game with Unity) were outraged over the sudden change and some threatened to abandon the engine.
Unity apologized a few days later and made some changes to the runtime fee. But the policy was a near-disaster for the company. Unity CEO and president John Riccitiello left through the back door the following month. In November, Unity laid off 265 workers in a move it attributed to its Weta Digital deal, but this occurred amid the company's ill-fated attempts to squeeze more revenue from developers. Two months later, Unity said it would lay off 1,800 people, about a quarter of its total workforce.
Current CEO Matt Bromberg, who took on the role in May, is hoping to rebuild trust (or, perhaps, unity) with developers by abandoning a loathed pricing model. The runtime fee is gone, effective immediately. The Unity Personal plan will remain free for developers with under $200,000 in revenue and funding. They'll also have the option to remove the Made with Unity splash screen from their games starting with Unity 6, which will arrive later this year.
On the flipside, pricing and annual revenue thresholds for Unity Pro and Unity Enterprise subscribers are changing on January 1. Pro users (those with at least $200,000 of total annual revenue and funding have to go with this plan) will need to pay $2,200 per seat per year. That's an eight percent increase. As for Unity Enterprise, which is required for developers with north of $25 million in annual funding and revenue, a 25 percent price increase will apply. Pricing is customized based various factors, such as the products and services Enterprise customers require.
Bromberg says that, going forward, Unity plans to consider possible price increases only on an annual basis. Developers will also be able to continue using an existing version of Unity on existing terms if they're not on board with changes to the Editor software.
"We want to deliver value at a fair price in the right way so that you will continue to feel comfortable building your business over the long term with Unity as your partner. And we’re confident that if we’re good partners and deliver great software and services, we’ve barely scratched the surface of what we can do together," Bromberg wrote in a blog post. "Canceling the Runtime Fee for games and instituting these pricing changes will allow us to continue investing to improve game development for everyone while also being better partners."