*By Michelle Castillo* Video game development platform Unity Technologies is gearing up to go public, according to people familiar with the matter. The company, which was valued at a little more than $3 billion as of its last funding round in June 2018, is aiming to do its initial public offering during the first half of 2020 ー provided that market conditions are favorable, a source told Cheddar. CEO John Riccitiello [told Cheddar](https://cheddar.com/media/john-riccitiello-ceo-of-unity-technologies-says-company-could-go-public-now) in April of 2018 that the company was earning about $300 million in annual revenue. A Unity spokesperson said it doesn't comment on IPO rumors or speculation. Unity Technologies is a real-time 3D (RT3D) development platform, used to power 2D, 3D, VR, and AR content. Half of mobile games and about 60 percent of AR/VR experiences use its platform today, according to company estimates. Because Unity is device-independent and can work on any company's gadgets, it is used in almost 3 billion devices globally. “It gives investors the opportunity to participate in the overall growth of the video game business on all platforms without having to choose a winner among the various publishers," said Brandon Ross, director and TMT Analyst at BTIG. "And investors understanding of video game engines has been heightened over the past several months as Epic has come into focus. We believe they have strategic value to some of the tech companies that might be looking to get deeper into games.” The mobile gaming industry was worth $70.3 billion in 2018, making up more than half of all gaming revenue according to research from [Newzoo](https://newzoo.com/insights/articles/newzoos-2018-report-insights-into-the-137-9-billion-global-games-market/). Unity charges a licensing fee to larger developers that use its technology. It also has a robust advertising platform, giving companies that use its platform access to its ad network. It serves more than 10.5 billion ads a month. A Unity spokesperson said the company does not disclose its ad revenue, but source familiar with the matter said the company makes about half of its revenue from advertising. Though the company's roots are in mobile gaming, it is branching out into PC and console games as well as other entertainment experiences. For example, its 3-D design capabilities have been used by the auto industry to design cars. Unity also acquired chat service Vivox, which is used in video games like "Fortnite." The company bought Vivox to "bring their great service to even more creators and to continue powering increased delight through player connection on all formats," a Unity spokesperson said. *Additional reporting by Alex Heath*

Share:
More In Business
Michigan Judge Sentences Walmart Shoplifters to Wash Parking Lot Cars
A Michigan judge is putting sponges in the hands of shoplifters and ordering them to wash cars in a Walmart parking lot when spring weather arrives. Genesee County Judge Jeffrey Clothier hopes the unusual form of community service discourages people from stealing from Walmart. The judge also wants to reward shoppers with free car washes. Clothier says he began ordering “Walmart wash” sentences this week for shoplifting at the store in Grand Blanc Township. He believes 75 to 100 people eventually will be ordered to wash cars this spring. Clothier says he will be washing cars alongside them when the time comes.
State Department Halts Plan to buy $400M of Armored Tesla Vehicles
The State Department had been in talks with Elon Musk’s Tesla company to buy armored electric vehicles, but the plans have been put on hold by the Trump administration after reports emerged about a potential $400 million purchase. A State Department spokesperson said the electric car company owned by Musk was the only one that expressed interest back in May 2024. The deal with Tesla was only in its planning phases but it was forecast to be the largest contract of the year. It shows how some of his wealth has come and was still expected to come from taxpayers.
Load More