In a regulatory report released on Monday, the game engine developer stated that the reduction in staff is part of a company-wide restructuring effort to realign with its core focuses, aiming for long-term growth.
The company, headquartered in San Francisco, aims to complete the downsizing by the end of the current fiscal year in March, affecting all areas and regions of its operations.
This marks the fourth wave of layoffs at Unity within the last year and follows a period of significant instability for the company. In October, the departure of John Riccitiello from the position of president and CEO was announced.
His departure came shortly after the company caused dissatisfaction among developers due to controversial monetization plans for its popular game engine, partially retracted following public outcry.
Former IBM president James Whitehurst, temporarily acting as president and CEO of Unity after Riccitiello's departure, told Reuters that additional changes aimed at "realigning" the company are planned.
Unity's quarterly report, published in early November, confirmed the planned structural changes, which include potential discontinuation of certain products, reducing the workforce of 7,000 employees, and reducing office space.
Later in the same month, the intention to cut 265 jobs or 3.8% of the company's total workforce was confirmed as part of its "reboot".
This latest wave of layoffs continues a series of extremely challenging times for the gaming industry. Last year, an estimated total of over 9,000 jobs were lost.
Among the companies affected by the layoffs were Xbox Game Studios, Epic Games, Sony Interactive Entertainment, CD Projekt, Unity, Riot Games, Blizzard, Crystal Dynamics, BioWare, Striking Distance, Team17, Frontier Developments, and Telltale Games.