they would have done these layoffs regardless for what it's worth. Apples privacy stance for advertising companies (what unity wanted to be) and the lack of easy access to additional investment this past year meant that it's not been a sustainable business for a while
While Epic has been pouring money from Fortnite into Unreal Engine and making significant progress in updating the engine.
Unity has been sitting on its ass for years doing absolutely nothing in the way of R&D.
As a result, Unity is now left behind.
Valve has given up on being an Engine developer.
Epic with the Unreal Engine will have a monopoly soon if it doesn't already.
Anyone attempting to make their own modern game engine these days are way behind the ball. All the big players are switching to Unreal.
And it's not only Game Engine, but movie making engine as well.
The only company I could see that would have the $$$ and talent to compete against Epic for a Graphics Engine would be nVidia.
AMD doesn't have the R&D and Scientists specializing in Graphics/Physics/Rendering/Simulation/InformationLoading like nVidia does.
Valve has the $$$ and talent, but they are focused on hardware now, and are even farther behind than Unity.
Having a single Game Engine monopoly will be bad for all of us in the end.
The only Video Game engine that I could see someone develop that could compete against Unreal, is if the engine was built from the ground up 100% focused on anti-cheat. Libraries that are designed from the start to be multiplayer focused with un-necessary data scrubbed properly from the clients so they can't sniff out data. Something designed to be hack proof.
That game engine, even if not graphically intense would be highly sought after in a wide genre range of games.
…which is why Godot now is quickly slipping into the niche that Unity largely used to be for.
And since Godot is FOSS, there is no going back for Unity once Indie game devs have shifted, since - like with Blender being free to use - it destroys the competition by becoming the defacto king when it comes to things like video tutorials on places like YouTube.
Popular tutorial channels on YouTube know their viewer audience is less likely to be large enough to be profitable via ad revenue, premium subscriptions, etc. if they are limited niche of people only willing to pay thousands for a license to an application they don’t yet have any professional reason to pay for.
Being open source in any way also usually then leads to a snowball effect of an application gaining popularity and then people extending its functionality.
This is also what I think will soon happen to Plex with Jellyfin since the Plex bigwigs have decided they want to be Netflix more than people’s personal media server frontend.
All it will take is one big mistake and the ground will fall beneath their feet just like with Unity.
All fascinating and frustrating to watch as I used to work with Unity a ton since its early days.
Hello I work for Unity (for now lol, we'll see)! I'd like to just say from my end of things we do actually do a solid amount of R&D. Just that a depressing amount of it either never sees the light of day, takes so long to release it has already been done better by someone else, or is unannounced with little to no documentation on release so it never gets visibility. The other thing to note is that Unity does a lot of non-game things that might not be that noticeable if you're just looking at it from a game making perspective, like our publicly known contracts we have to help train the military to "totally not kill people you guys"!