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A Changing of the Guard (Ep. 11)

Gamecraft

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Gaming Engines as Stepping Stones to Ad Revenue

Unity initially focused on developing a game engine, creating a vast platform for content within the gaming industry. The company realized that the engine business alone was not as profitable. Instead, similar to Fortnite's role in building Epic's publishing business and League of Legends' impact on Riot's success, Unity's engine facilitated more lucrative monetization avenues. Ultimately, the true financial gains came from the ad business, including ad tech, services, and customer acquisition, proving these aspects far surpassed the revenue generated from per-seat licensing of the game engine.

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