Example of a Portfolio Company: Unity Technologies

Unity Technologies, founded in 2004 in San Francisco, was established with the goal of creating tools and technologies for game development. Unity provides game developers with a game engine that supports the creation of both 2D and 3D games. The company also supports advanced technologies such as virtual reality (VR), augmented reality (AR), and mixed reality (MR) through its suite of services.

Unity is one of the most widely used and popular game engines in the world. Many renowned games, including Pokémon Go, Temple Run, Ori and the Will of the Wisps, Among Us, Cuphead, and Hollow Knight, have been developed using the Unity engine.

A Booming Industry

The game development sector has seen exponential growth in recent years. Considering that the global gaming industry's total revenue reached $175 billion in 2021 and approached $200 billion in 2022, it’s evident how attractive this sector has become for entrepreneurs.

Game development is a capital-intensive process, requiring significant investment to create high-quality games and maintain a competitive edge. The technologies and skilled labor involved are also expensive, making the development process inherently costly.

Unity’s software offerings help reduce these costs, enabling studios to produce technologically advanced games quickly and efficiently. In an industry where speed and cost-efficiency are critical due to fast consumer turnover, Unity offers significant advantages—especially for small and medium-sized game studios.

Beyond Development: Unity’s Marketing Ecosystem

In addition to development tools, Unity also provides a range of services that support game developers in marketing and publishing their games. These tools help studios publish across multiple platforms—PC, mobile devices, consoles—and allow them to track user data and run targeted marketing campaigns. Unity thus delivers an end-to-end ecosystem for game development and commercialization.

Latest Developments

At the 2023 Game Developers Conference (GDC) held in San Francisco, Unity introduced a new AI-powered software interface that allows game development through voice and text commands—a breakthrough feature aimed at simplifying game creation.

The company also showcased its Data-Oriented Technology Stack (DOTS), designed to help developers build and optimize large-scale virtual worlds with greater ease and performance. This tool has generated significant interest among game creators.

Another innovative technology unveiled was the Ziva Face Trainer (ZFT), designed to automate hyper-realistic facial animations, including muscle movements. With ZFT, developers can create lifelike expressions for characters, elevating the level of realism in games.

Investment Perspective

At BV Portföy, we believe Unity’s recent R&D investments will yield a positive impact on its financial performance in the coming periods. The company’s new technologies are expected to contribute significantly to revenue growth.

With a rapidly growing number of gaming startups and studios, paired with strong consumer demand and fast content consumption, we anticipate that the gaming industry will continue to grow robustly in the years ahead.