Unity Chief Resigns After Pricing Backlash
His swift exit underscored the precarious position Mr. Riccitiello found himself in after an attempt to fix a corporate balance sheet awash in red ink. But the abrupt shift in the company’s financial model angered many programmers who rely on Unity for their own businesses.
When Unity announced its new fee structure in September, developers, including those who make some of the world’s most popular mobile games, like Among Us and Slay the Spire, criticized the changes. Someone even called in a threat that required the company to inform federal law enforcement officials and evacuate two of its offices. Unity soon rolled back some but not all of its planned changes.
James Whitehurst, a tech industry veteran, will temporarily replace Mr. Riccitiello as interim chief executive as Unity conducts a search for its next C.E.O., the company said. Mr. Whitehurst was previously a senior executive at IBM, and worked for years at Red Hat, Delta Air Lines, and the Boston Consulting Group.
Unity said in its statement that it was sticking with the guidance it gave earlier for its third quarter earnings report. The company expects to see continued revenue growth, though it remains unprofitable.
Mr. Riccitiello is no stranger to controversy. He spent nearly two decades at the video game giant Electronic Arts, including a stint as chief executive, and gained a reputation for trying to squeeze money out of games in ways that sometimes frustrated players.