For the third time in less than a year, Unity is laying off a part of its workforce. On Tuesday, the company shared it would let go of approximately 600 employees or about eight percent of its global workforce. The company previously laid off about 225 staffers last June, and another 284 employees at the start of the year. Prior to the first round of workforce reductions, the company employed more than 8,000 staff. It now has around 7,000 employees. Unity also plans to reduce the number of offices it operates globally.

Unity declined to comment. A spokesperson instead pointed Engadget to a filing the company made with the US Securities and Exchange Commission, as well as a recent interview CEO John Riccitiello did with The Wall Street Journal. “It’s all about setting ourselves up for higher growth,” he told the outlet, adding the layoffs would affect some in middle management. “It was clear we had too many layers.” Riccitiello also said Unity would move to a hybrid work model starting in June, with employees expected to work from the office at least three days a week.

The layoffs come despite Unity recently posting its best fiscal quarter and year in company history. In February, the engine maker reported a Q4 revenue of $451 million, representing a 43 percent increase from the same period in 2021. It was also Unity’s first profitable quarter as a publicly traded company. Despite that performance, investors don’t appear to be impressed with the company. Per CNBC, Unity’s stock is down 11 percent since the start of the year. The company is expected to release its Q1 earnings next week. Unity’s latest layoffs come amid broader workforce reductions across much of the tech industry. Like Unity, a handful of companies, including Meta and Amazon, have announced multiple rounds of cuts.

ARM has registered for a US stock market listing. In a press release published Saturday, the mobile chip company said it recently confidentially submitted a draft F-1 form to the Securities and Exchange Commission. According to Reuters, ARM hopes to raise between $8 billion and $10 billion dollars when it holds the initial public offering later this year, though over the weekend the company said it had yet to determine the size and price range of the proposed IPO.

ARM parent company SoftBank has been eyeing a public listing ever since NVIDIA’s $40 billion bid to buy the chip maker fell through at the start of last year due to regulatory resistance from the US Federal Trade Commission and other antitrust watchdogs. In March, SoftBank said it would list ARM on the US stock market after rebuffing a push for a London listing from the United Kingdom government. ARM designs the processor components used in almost every mobile device, including models from Apple and Samsung. Its licensing model means nearly every tech company depends on ARM designs. According to a recent Financial Times report, the company recently began work on a prototype chip that is “more advanced” than any semiconductor produced in the past.

Now that it's solved its supply shortages, Sony is seeing a lot of pent-up demand for PlayStation 5 consoles. The company just announced its second consecutive blockbuster quarter, selling 6.3 million PS5s — an impressive figure in a non-holiday period — compared to 2 million last year. That brings its total for fiscal year 2022 to 19.1 million, handily beating its own forecast of 18 million. The company has now sold 38.4 million PS5s since the console was released in late 2020. 

The news wasn't quite as good on the software side. Game sales were down to 68 million from 70.5 million a year ago, and lower for the fiscal year (264.2 million compared to 303.2 million in fiscal 2021). PlayStation Network users dropped to 108 million from 112 million the quarter before, though PS Plus subs were up very slightly. 

All of that added up to a fairly large boost in revenue in the Gaming & Network Services division, up to 1.073 trillion yen ($7.9 billion) compared to 665 billion yen ($4.9 billion) the year before. Operating profit was down, though, due to a hit in foreign exchange rates. For the year, Sony hit 3.9 trillion yen in sales ($29 billion), up from 2.7 trillion yen ($19.9 billion) the year prior. 

The company is confident that trajectory will continue into next year, forecasting a 7 percent boost in revenue for fiscal 2023. It's predicting increased hardware sales, including peripherals, though it didn't say anything about results for the PlayStation VR2 to date. 

Sony's gaming segment still dominates its other divisions, though its chip/sensor and entertainment technologies (TVs, cameras, etc.) were also bright spots. Overall, Sony set a new fiscal year sales record with 11.5 trillion yen in sales ($84.8 billion) and 1.21 trillion yen ($8.9 billion) in profits. 

Sony, of course, just scored a major win over its biggest rival as well. Yesterday, the UK blocked Microsoft's merger with Activision over cloud gaming concerns, though Microsoft has vowed to contest the decision.

Samsung's earnings results for the first quarter of 2023 are in, and they're a massive departure from the same period's last year wherein it reported a steep rise in profit. The tech giant has posted a consolidated revenue of KRW 63.75 trillion (US$47.5 billion) and an operating profit of only KRW 0.64 trillion (US$477 million), mostly because its semiconductor business has (according to Reuters) reported record losses. Samsung's DS division, which operates its semiconductor and display businesses, reported a consolidated revenue of KRW 13.73 trillion (US$10.2 billion). However, it also posted KRW 4.58 trillion (US$3.4 billion) in operating losses for the first quarter.

Overall demand for memory products has been decreasing over the past months, with the division reporting only KRW 0.27 trillion (US$201 million) in operating profit for the fourth quarter of 2022. This quarter, Samsung blamed ongoing inventory adjustments, as well as the economic slowdown and the weakened customer spending that resulted from it for the decrease in overall demand. That said, the company expects demand to gradually recover in the second half of the year as customers' inventory levels get depleted.

Despite the loss in profits overall, Samsung's mobile division performed well in the first quarter. The company's MX and Networks businesses, which cover both mobile devices and telecommunication network equipment, posted KRW 31.82 trillion (US$23.7 billion) in consolidated revenue and KRW 3.94 trillion (US$2.9 billion) in operating profit. Samsung explained that while there was a low demand for smartphones overall, the market for premium devices grew year-over-year. The division's positive performance was apparently made possible by the strong sales of the Galaxy S23 series, specifically the Galaxy S23 Ultra. 

Going forward, the company's MX business will focus on supporting Galaxy S23 sales while boosting the marketing for its foldable phones to increase awareness about the devices before the next generation drops. Samsung is expected to unveil its next foldable devices in the second half of the year, possibly in August likes its previous launches. 

Mark Zuckerberg’s “year of efficiency” doesn’t seem to be affecting Facebook’s growth. Meta’s social network added 37 million users during the first quarter of the year, bringing total daily users up to 2.037 billion. Meanwhile, the number of daily users across the company’s “family of apps” rose to over 3 billion users for the first time in company history.

The company reported the growth in its first-quarter earnings report for 2023, the first since Zuckerberg announced the company was focusing on “efficiency” amid an economic downturn that has led the company to shed thousands of jobs. That shift seems to be showing some signs of success, as Meta reported $28.6 billion in revenue for the quarter, up 3 percent from last year and the first revenue growth in nearly a year for Meta.

Despite the boost, though, Zuckerberg confirmed that more layoffs are still scheduled to take place next month. “Even as our financial position improves, I continue to believe that slowing hiring, flattening our management structure, increasing the percent of our company that is technical and more rigorously prioritizing projects will improve the speed and quality of our work,” he said during a call with analysts.

Reality Labs also continues to take major losses, losing just under $4 billion for the quarter. That’s a bit less than the $4.3 billion the company lost last quarter, but Meta has said it expects 2023 losses for its metaverse division to top the $14.3 billion it lost last year.

During the call, Zuckerberg said the company is still prioritizing its massive investment in the metaverse, even as it increasingly turns its attention to generative AI. “A narrative has developed that we're moving away from focusing on the metaverse vision,” Zuckerberg said. “So I just want to say upfront that that's not accurate. We've been focusing on both AI and the metaverse for years now, and we will continue to focus on both.” He added that the company was preparing to launch its “next-generation consumer virtual and mixed reality device” later in the year.

Meta’s CEO also talked more about his plan to create “AI agents” and other generative AI tools for the company’s apps. “I think that there's an opportunity to introduce AI agents to billions of people in ways that will be useful and meaningful. We're exploring chat experiences in WhatsApp and messenger, visual creation tools for posts on Facebook and Instagram and ads, and, over time, video and multimodal experiences as well.”

The UK’s antitrust regulator, the Competition and Markets Authority, has announced it will block Microsoft’s purchase of Activision Blizzard. In a statement, the body said the deal risks harming the nascent cloud-gaming market by creating a monopoly player. It said that Microsoft would have a market share of between 60 and 70 percent, giving it an “incentive to withhold [Activision Blizzard] games from competitors and substantially weaken competition in this important growing market.”

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South Korean authorities announced today that they indicted the co-founder of Terraform Labs, the company that develops and manages the blockchain payment platform Terra. According toBloomberg, Daniel Shin and nine others linked to Terra now face multiple charges, including violations of capital markets law, which regulates the nation’s securities and financial markets.

The authorities indicted eight people, including Shin, for illegal trading; two others face breach of trust charges. Prosecutors say all the defendants were directly involved with Terra, having handled marketing, systems development and management. In addition, prosecutors have frozen 246.8 billion won ($184.7 million) in assets from the defendants. Korean officials said they’re working with the US on the case, although they didn’t go into specifics.

Billed as a stablecoin, TerraUSD isn’t backed by real-world assets or fiat currency. Instead, it’s supported by Luna, the native cryptocurrency of the Terra blockchain, that supposedly had a mechanism to restore its value to $1 if its value ever failed. In addition, investors saw it as an alluring money-making opportunity because of its Anchor lending program, which promised annual yields of 20 percent for coin deposits.

However, prosecutors allege the Terra blockchain was a “fabrication” from the get-go, with the entire system essentially built on a house of cards. They claim the blockchain’s algorithm that kept TerraUSD at a stable price was “impossible to get right.” Its value collapsed in May 2022, when depositors lost confidence in the platform and simultaneously tried to sell off their investments. At the time of publication, Terra has a value of less than two cents.

Before the collapse, the defendants took 463 billion won (nearly $346 million) in profit. In addition, prosecutors claim they illegally exposed clients’ payment details and embezzled funds. Authorities say those charged caused “astronomical damage” to global investors as the crash also played a role in the collapse of crypto hedge fund Three Arrows Capital and the broader $2 trillion decline in the cryptocurrency market.

“Shin has nothing to do with the Terra, Luna collapse as he left the [company] two years before the fallout,” said Shin’s lawyer, Kim Ki-dong, in a statement. “He voluntarily returned to South Korea immediately after the collapse, and has been faithfully cooperating with the probe for over 10 months, hoping to contribute to fact finding.”

In September, Korean authorities issued an arrest warrant for Shin’s co-founder, Do Kwon, who was also placed on an Interpol "red notice" list at South Korea’s request. He was finally arrested last month in Montenegro on capital markets law and fraud charges. The US Securities and Exchange Commission also charged Do Kwon and Terraform Labs in February.

Spotify has released its earnings report for the first quarter of 2023 and the headline figure is the number of users the company has. As of March 31st, 515 million people were using the audio streaming service. That's the first time Spotify has had more than half a billion users. Q1 was also Spotify's second-biggest quarter for user growth to date — its audience increased by five percent from the previous quarter and 22 percent year over year. The user base grew by 26 million, which is 15 million more than Spotify had expected. The company said it saw growth in both developed and developing markets, as well as almost every age group.

Most of that growth is based on folks who use the free, ad-supported version of the Spotify service. Premium subscriptions didn't keep pace with the overall growth, as they rose by two percent from the previous quarter and 15 percent year over year from 205 million to 210 million. Still, premium subscribers grew by 3 million more than Spotify had indicated in its guidance to investors.

Overall, Spotify posted a net operating loss of €156 million ($172 million) for the quarter. That's far more than the €6 million ($6.6 million) loss it saw in the first quarter of 2022, though it's an improvement over the €270 million ($297 million) Spotify lost the previous quarter.

While overall revenue was up by 14 percent year over year from €2.66 billion ($2.93 billion) to €3.04 billion ($3.34 billion), it dipped by four percent from the previous quarter. Revenue from paid subscribers didn't change significantly from Q4 2022, but it dropped by 27 percent on the ad-supported side from €449 million ($494 million) to €329 million ($362 million) — though revenue from free users rose by 17 percent year over year. The quarter-to-quarter drop is perhaps a result of advertisers tightening their belts somewhat, leading to lower ad spend.

Advertisers aren't the only businesses trying to rein in costs. Spotify, like many other major tech companies in recent months, has laid off a sizable proportion of its staff. In January, the company laid off six percent of workers, which equates to around 600 people based on the 9,800 that Spotify employed as of the end of 2022.

Additionally, Spotify seems to be placing a bigger focus on the core parts of its business. It recently announced plans to shut down both its live audio app, Spotify Live, and Heardle, the Wordle-style song-guessing game it bought last summer.

Meta has started the layoffs it announced in March. The company has confirmed that it's letting go of the first wave of the roughly 10,000 affected employees. CNBCnotes that this initial round of job cuts focuses on technical roles, such as software engineer, AR/VR gameplay programmers and user experience designers. Business positions (such as finance and legal) will be cut in May. Other tech workers may be affected next month.

Company chief Mark Zuckerberg outlined the schedule for the cuts upon revealing them last month. This comes after Meta laid off 11,000 people last fall. The two rounds of cuts represent Meta's first mass layoffs, and Zuckerberg has characterized 2023 as a "year of efficiency" where the company narrows its focus and is theoretically more productive.

Meta is dealing with a rough economy like other big tech firms laying off staff, but is also struggling to pivot to the metaverse. The social media pioneer has continued to pour billions of dollars into the Reality Labs unit responsible for its VR headsets and virtual platforms like Horizon Worlds, but these have yet to translate to major revenue growth. Ad revenue for Meta's main social platforms fell in 2022.

The company's outlook for its just-ended quarter suggests the worst of the downturns may be at an end. Results will be announced next week. Reality Labs isn't expected to turn a profit, though, and it may be some time before Meta's social businesses return to meaningful growth.

The Securities and Exchange Commission has charged Bittrex and former CEO William Shihara with operating an unregistered securities exchange. In a complaint filed on Monday, the SEC alleges the crypto exchange, once one of the largest in the US, earned at least $1.3 billion in revenue between 2017 and 2022 while offering the services of a broker, exchange and clearing agency. It did so without registering with the Commission, in violation of federal law, the SEC alleges.

Additionally, the SEC claims Bittrex “coordinated” with crypto issuers to delete “problematic statements” Shihara believed would prompt a regulator like the SEC to investigate the exchange. In one instance, the Commission states Shihara instructed a potential issuer to erase comments that referenced “price predictions” and “expectation of profit.”

“Today’s action, yet again, makes plain that the crypto markets suffer from a lack of regulatory compliance, not a lack of regulatory clarity,” said SEC Chair Gary Gensler. “As alleged in our complaint, Bittrex and issuers that it worked with knew the rules that applied to them but went to great lengths to evade them by directing issuer-applicants to ‘scrub’ offering materials of information indicating that certain crypto assets were securities.”

As Coindesk notes, Bittrex, citing “continued regulatory uncertainty,” announced last month it would exit the US market at the end of April. Over the weekend, the company told The Wall Street Journal it was recently notified by the SEC of potential enforcement action by the Commission. David Maria, the company’s general counsel, said Bittrex would challenge the lawsuit unless the Commission offered “a reasonable settlement offer.” Last year, the US Treasury fined Bittrex $29 million for previously failing to comply with US money laundering and sanction laws.