Unity Technologies, the company behind the game development engine of the same name, announced that John Riccitiello will be stepping down as Chief Executive Officer (CEO) and all other positions in the company in the wake of a major controversy over the implementation of Runtime Fees.

According to the official statement, John Riccitiello will retire as Unity CEO, President, and a member of the Company’s Board of Directors, effective immediately.

Leadership Transition 

The announcement did not specify the reasons behind Riccitiello’s departure, however, the company noted that “Mr. Riccitiello will continue to advise Unity to ensure a smooth transition.”.

Upon his retirement, Unity appointed James M. Whitehurst as the Interim CEO, President, and a member of the Board.

Meanwhile, Roelof Botha, Lead Independent Director of the Unity Board, has been appointed as Chairman.

The official statement stated, “The Board will initiate a comprehensive search process, with the assistance of a leading executive search firm, to identify a permanent CEO.”

“It’s been a privilege to lead Unity for nearly a decade and serve our employees, customers, developers, and partners, all of whom have been instrumental to the Company’s growth,” said Riccitiello regarding his retirement as CEO.

“I look forward to supporting Unity through this transition and following the Company’s future success.”

Newly Appointed CEO & Chairman

As announced, James M. Whitehurst is now the Interim CEO, President, and a member of the Board at Unity Technologies.

Whitehurst was notably the Senior Advisor and President at IBM previously, as well as a CEO at the IT enterprise, Red Hat Software for 12 years.

“I am honored to join Unity as Interim CEO and President at this important time in its evolution,” said Whitehurst.

“With the Company’s experienced leadership and passionate employees, I am confident that Unity is well-positioned to continue enhancing its platform, strengthening its community of customers, developers, and partners, and focusing on its growth and profitability goals.”

“I look forward to working closely with the Board and our talented global team to execute on our strategy, and I anticipate a seamless transition.”

On the other hand, Roelof Botha, previously the Lead Independent Director of the Unity Board, is now Chairman of Unity.

“Working with Unity under John’s leadership has been one of the highlights of my career,” Botha said.

“John joined the Unity Board in 2013 and stepped in to lead the Company in 2014, at a time when we faced significant challenges.”

“John has led Unity through incredible growth over the last nearly 10 years, helping us transition from a perpetual license to a subscription model, enabling developers to monetize, building other game services to serve our creator community, leading us through an IPO and positioning us as a pioneer in the developer community.”

“Unity would not be where it is today without the impact of his contributions. I remain excited for the future of Unity.”

Runtime Fee Backlash 

On September 12th, Unity was caught in a controversy after the company announced a new pricing model known as the Runtime Fee, which in short, sees developers getting charged whenever a user downloads their game.

After a massive outrage from game developers, Unity walked back on the policy on September 22nd,  however, it was pointed out that trust has been broken especially after the retroactive change of Terms of Service.

In the new announcement, Unity also noted that they will release the third-quarter financial 2023 results on 9th November 2023, at 2 PM (PT).