Videogame software maker Unity’s CEO John Riccitiello has retired from his position effective immediately, the company announced in a press release on Monday, October 9.

Meanwhile, former Red Hat CEO James Whitehurst was appointed CEO in the interim, and Roelof Botha, the lead independent board member, will be board chair for now.

“The Board will initiate a comprehensive search process, with the assistance of a leading executive search firm, to identify a permanent CEO,” Unity added.

The news of Riccitiello’s retirement comes some weeks after Unity backtracked on proposed changes that would have enabled a new pricing model and a retroactive change to its Terms of Service.

The pricing model, which was negatively received by game developers, would have been a pay-per-download pricing scheme, charging developers when Unity-powered software is installed.

The Verge, in its report, noted that while Unity was used extensively by many developers, the company has never turned a profit. According to Unity’s most recent earnings report:

“Since our inception, we have generated losses from our operations as reflected in our accumulated deficit of $2.7 billion as of June 30, 2023. We expect to continue to incur operating losses on a GAAP basis for the foreseeable future due to the investments we will continue to make in research and development, sales and marketing, and general and administrative. As a result, we may require additional capital to execute our strategic initiatives to grow our business.”

The Verge added Unity will be releasing its third-quarter results on November 9. – Rappler.com