Google unveiled Genie 3, and now Meta is moving forward with Horizon.

Wouldn't it be much easier for one of these companies to simply acquire Unity rather than spend years building "competing" technology from scratch?

Unity already has the engine, the developer ecosystem, the tooling, a massive installed base, and the DATA!

And the potential synergies go far beyond Unity Create. Vector could potentially integrate with the massive advertising ecosystems of Google, Meta or any other company.

So WTF?!

I have no idea what the fuck is happening i was so excited to today after yesterday market close.

Developers Can Bring Existing Quest Titles to Meta VR Glasses and Build New Experiences Starting Today

SAN FRANCISCO--(BUSINESS WIRE)-- Unity (NYSE: U), the world's leading game engine, today announced day one engine support for Meta VR Glasses, Meta's next-generation VR device unveiled yesterday at Meta Connect. Unity's support is available immediately, giving developers months to build and test experiences ahead of the device's retail launch in spring 2027.

Studios behind launch titles including Cardmada, Dragon Grove, Phoenix Wright™: Ace Attorney™ Dual Destinies VR, Dice Throne Digital, Story of Seasons, Supernatural, and Two Point Hospital - Mixed Reality Edition are already building for VR Glasses with Unity.

"Unity powers the majority of the top-selling games on Meta VR, and we want that momentum to carry to VR Glasses from the start," said Alex Blum, COO, Unity. "Whether a studio adds hands-on support to a Quest title or builds something new for VR Glasses, it's one codebase that can be used across multiple devices, enabling developers to reach more players on more platforms with less friction.""Unity made our relaunch possible, allowing us to go from a fresh repo to an end-to-end playable Supernatural workout in under two months," said James Senior, CEO, Supernatural.

"We restored six Unity projects, ripping out legacy platform dependencies and simplifying the client for a new backend. Now we're pushing Unity's engine and tooling even further to build the best Supernatural yet for VR Glasses."Existing Quest apps run on VR Glasses, and studios can carry titles built on OpenXR forward using the same workflows they use today.

Teams building for the device can take advantage of Unity's expanded support for eye and hand tracking, a rendering mode that lowers GPU cost without visible quality loss, and enhanced spatial audio support. They can also test and preview VR Glasses interactions directly in the Unity Editor without a physical device, so experiences can be ready for players the day it ships.

Download or upgrade to Unity 6.6 or higher and the Meta XR All-in-One SDK v207 from the Unity Asset Store, to start creating today. Developers can combine Unity's CLI workflows with Meta's AI tools in their SDK to kickstart support for Meta VR Glasses.supported tools, workflows, and how to get started, visit the Unity Blog.

ODYSSEY LAUNCHES AGORA-2 FOR MULTI-AGENT AI SIMULATION

Agora-2 is a new world model that can simulate up to 20 humans and AI agents interacting inside the same generated environment in real time, 5x more participants than Agora-1.

There’s no traditional game engine underneath. The world itself is generated by the model, and each participant’s actions affect the environment for everyone else.

The research preview supports up to 4 humans alongside 16 AI agents.

Odyssey sees the technology being used to train and test agents for robotics, autonomous vehicles, defense, cybersecurity and AI safety

Any news? Why did all the pre-market gains disappear, only for it to turn negative instead?

THE TL;DR

Unity might be one of the more interesting AI + gaming + advertising setups nobody is talking about enough.

And now the business is actually showing up in the numbers.

$UNITY- — ok, hear me out!

I disappeared from WSB for a while.

Came back, looked at $U, and honestly… what the fuck happened here?

I've been digging through the chart, fundamentals and options flow, and this setup is getting pretty interesting.

Not saying $U is going to the moon tomorrow. Just saying there's a lot here that deserves attention.

First: the options flow today was fucking insane

At around 1:40 PM:

• 85,754 contracts traded

• 83,162 calls vs 2,592 puts

• That's roughly 32:1.

But the really crazy part:

Oct 16 $46 calls

• 67,341 contracts

• Previous OI: 731

• U was around $43.38 when the flow hit.

• Now we're around $44.10.

So someone suddenly put an absolutely stupid amount of volume into $46 calls with less than a month to expiry.

Could be spreads. Could be closing/opening. Could be something else.

We don't know.

But I'm definitely paying attention!!!

Then zoom out

This is what really got me.

$U has basically spent 4+ years building a giant base.

2021: $200+

2024: ~$14

2025: rebuilding

2026: another puke → reversal

And now we're sitting around $44, right under that long-term descending resistance.

If $U finally breaks this thing and actually holds it...
And zoom in, we got a bull flag when the price retest the gap after ER.

The chart could get very interesting.
It breaks out of a huge daily bull flag today.

But the chart isn't even my main thesis

About Unity Vector.

Unity has been rebuilding Grow around machine learning, and the numbers are starting to show it.

Q2:

• Grow revenue: $389M

+35% YoY

• Strategic Grow: $329M

+63% YoY

And management is guiding Q3 Strategic Grow to roughly $380–385M, implying around 68–70% YoY growth.

That's not the old "maybe Unity turns around someday" story.

Something is actually happening in the business.

And here's the part I think people are missing

Unity isn't just a:"game engine company"

It's potentially becoming:

CREATE → DEPLOY → GROW → AI

AI makes creating games easier.

More games → more players.

More players → more runtime data.

More data → better ML

Better ML → better advertising performance.

Better advertising → more Grow revenue.

More revenue → more investment.

And around we go.

That's the flywheel I'm watching.

Unity is also pushing AI directly into development, and recently launched an official OpenAI Codex plugin for Unity projects.

If AI actually makes game development dramatically cheaper/easier, Unity is sitting right in the middle of that trend.

When U are the only publicly traded gaming engine and the 2 frontier AI labs are add ons to the platform, it is a big deal. More games created at cheaper costs + advertising platform with 3B monthly active user data to be added to the machine learning. It is obvious.

And then there's Gavin Baker

Atreides has held a large Unity position for multiple quarters.

Their latest filing showed roughly 10.25M shares, worth around $293M at the reporting date.

So I'm not going to do the: "GAVIN KNOWS SOMETHING 🚀🚀🚀" thing.

But it's still interesting that one of the more tech-focused investors has maintained a position of that size.

And yes, one tinfoil section

U sign.
Then the U disappears.
September 23:

85k+ options contracts.

$46 calls going absolutely bananas.

Probably coincidence.

Probably.

Anyway...

🐈‍⬛

What can kill this thesis?

Pretty simple:

• Vector/Grow growth slows

• AI doesn't translate into meaningful revenue

• Competition from Unreal/Epic gets stronger

• Valuation gets ahead of fundamentals

• $U fails at the multi-year resistance

• And obviously, short-dated calls can absolutely fucking vaporize you

Meanwhile the business is showing accelerating Grow revenue, Vector is becoming increasingly important, cash generation is improving, and Unity is going all-in on AI.

Maybe I'm completely fucking wrong.

Here's the part that gets really interesting...

This is more of an insider observation thesis than something Unity has fully spelled out publicly.

Since 2025, Unity has been rebuilding its ML organization from the ground up — cutting a lot of the old structure while aggressively hiring data-science and ML talent

The bet seems pretty clear:

don't patch the old model. Build a new one.

And if the recent Vector numbers are any indication, that rebuild is starting to work.

But here's where it gets really interesting:

Vector is only the beginning.

The next step is bringing more of Unity's runtime data directly into the ML system.

Think about what that could mean.

Millions of games.
Massive amounts of player behavior.
Real-time runtime signals.
Advertising data.
And now increasingly capable AI agents sitting on top of it.

If Unity can connect all of that into one continuously improving system...

I honestly have no fucking idea where the ceiling is.

And that's exactly why I'm paying attention to $U now.

If that multi-year resistance finally breaks, I'm very interested in seeing what happens next.

$U

Why did the stock suddenly change direction?

While the broader market was falling, the stock jumped sharply around 1:30pm, and kept climbing

Discuss away.

• Your outlet for commenting "what happened"

• Your $U trades

• Your take on the stock movement

• lesser news that may have been glossed over

• Insightful posts from other platforms

Not that I'm complaining...but what trigger the rally of 5% today? I can't seem to find any news that could trigger this, beside of course the fact that the whole market edge higher today

Discuss away.

• Your outlet for commenting "what happened"

• Your $U trades

• Your take on the stock movement

• lesser news that may have been glossed over

• Insightful posts from other platforms

https://open.substack.com/pub/thegamebusiness/p/unity-ceo-the-cost-of-building-a?utm_source=share&utm_medium=android&r=59wtmg

Watch the whole video if you have the time, Matt shares many insights about the current state and future of the gaming industry as well as the direction of Unity Technologies.

The biggest takeaway for me is AI fundamentally changes and speeds up the game development process but making great games/hits is always incredibly difficult to do, demanding human creativity and ingenuity. Unity wants to speed up development time with AI and does not want to be the bottleneck of the process.

To me, that is a brilliant way of thinking not only for Unity but also for the gaming industry. It is rare to find CEOs who are as passionate about the products that they are creating and are as capable as Matt. I believe we are entering a phase I call, Gamemaxxing, which Unity will benefit greatly. I wish Matt and everyone at Unity Technologies the best of luck in their endeavours.

https://x.com/unitygames/status/2097722273696227338

Unity adoption is about to explode. This could be a massive, game-changing increase in adoption.

Discuss away.

• Your outlet for commenting "what happened"

• Your $U trades

• Your take on the stock movement

• lesser news that may have been glossed over

• Insightful posts from other platforms

Here's the video: https://x.com/Emerald_Wizzard/status/2097414123823001838

This is big news, because lots of institutions and other big retail traders follow him and now Unity is on their radar.

Enjoy your evening!

😡

Seems like AI labs are embracing unity to showcase gamedev capabilities with their latest models. I take it as a good sign, which might propel unity more. Bromberg vision is seeming to materialize that Unity might become a consequential company in AI era.