Well, Hello There, Unity!
Not your typical Tuesday, indeed. Unity Technologies, the folks who bring you virtual, imaginary worlds – the gaming tool maker, as some would say – saw their stock rise over 15% to $42.38 per share. Why? A new marketplace for artificial intelligence software that places Unity square in the bustling, tech-forward AI scene. Who could resist that?
Let’s Talk AI
Unity, dear readers, is not just a game engine anymore. The company’s clientele, a delightful ensemble of game makers, now have a smorgasbord of AI software to choose from. Whether they’re in need of AI-generated dialogue or crave some crisp graphics, they’ve got choices. Independents like Inworld AI and Polyhive have been quick to hop on the wagon.
The new business model? Simple yet ingenious. AI companies will distribute their software to game makers via Unity’s Asset Store and, of course, charge a little something for it.
The Riccitiello Effect
Unity’s rising stock coincides nicely with a little chatter the company’s big cheeses have been having about AI’s potential. Take CEO John Riccitiello, for instance. He seems to be of the firm belief that AI is already changing gaming – making it faster, cheaper, and better. John’s vision? Grand, as befitting a CEO.
Wells Fargo Weighs In
In the same breath, let’s not overlook Wells Fargo’s Brian Fitzgerald and his pack of analysts. They’ve given Unity an overweight rating and a target price of $48. They also hinted that Unity’s current share price might be a tantalizing buying opportunity. Unity, they say, could extend its tendrils beyond gaming and delve into “digital twins” and enterprise simulation products.
From Metaverse to AI
Remember when Unity was all about VR headsets and linked closely to Meta’s efforts? Those were the days. It seems AI is the new kid on the block now. Unity’s software can still be used to create virtual reality apps, of course. Apple even announced its support for VR apps made with Unity on the Vision Pro.
Oh, and a fun fact before I sign off. Riccitiello isn’t a fan of the word “metaverse”. Apparently, it’s “loaded and kind of stupid”. And that’s straight from the horse’s mouth.
