Unity Gaming Layoffs 265 Employees

Unity, the video gaming company, is set to cut 265 jobs, which represents 3.8 percent of its total workforce, as part of a strategic reset. This move coincides with the termination of an agreement with a digital video effects company co-founded by the director of Lord of the Rings, according to a Reuters report.

The San Francisco-based firm is known for creating popular games like "Pokemon Go" for mobile platforms.

In September, the company implemented a new policy called the "runtime fee," which faced backlash from developers, leading to a significant drop in its share price. After a developer uproar, the company restructured the new fees.

In addition to these changes, Unity CEO John Riccitiello retired in October, and former IBM president Jim Whitehurst stepped in as interim CEO and president. Roelof Botha, a partner at Sequoia Capital, was appointed as board chairman.

Unity announced the termination of its agreement with Weta FX, a visual effects company. This move affects 265 employees connected to the agreement.

With a total workforce of approximately 7,000 employees, Unity plans to close offices in 14 locations, including San Francisco, Bellevue, and Washington.