Unity claimed its new AI-driven ad platform Vector is now fully operational and is already getting results in its Q125 earnings call.
Unity CEO Matthew Bromberg claimed that the migration to Vector is already complete, and clients are seeing “a 15-20% lift in both the number of installs and the value of in app purchases”.
Unity also beat the high end of its revenue and adjusted EBITDA guidance by 5% and 29% respectively.
Those Q125 results at-a-glance:
- Revenue: $435m, down from $460m in Q124
- Create revenue: $150m, down from $164m in Q124
- Grow revenue: $285m, down from $297m in Q124
- GAAP net loss: $78m
- Adjusted EBITDA: $84m at a margin of 19%
- Net cash provided by operating activities: $13m
- Free cash flow: $7m
In the earnings call that followed, CEO Bromberg added more detail on Vector, stating that all iOS and Android traffic on the Unity ad network is now running on the new system.
“With Vector now operational, we can begin to leverage data from across the Unity ecosystem to provide deeper insights, optimize performance, and deliver better return on investment for our customers,” he said.
Bromberg also seemed to reference UA rival AppLovin’s dominance, adding: “Our journey to compete in a fundamentally new way has now officially started as our self-learning models adapt in real time, helping customers navigate an increasingly competitive mobile marketplace.”
Bromberg went on to claim that on iOS, where Unity has had more time to develop reliable data, Vector is “providing a 15-20% lift in both the number of installs and the value of in app purchases” when compared to Unity’s old model.
“That means more players and more players who spend more, providing our advertisers with a higher return on their investment with us,” Bromberg continued. “Although our Android migration is more recent, it’s happily on a similar trajectory to where iOS was during the same period of development.”
Unity also said that 43% of active users have already moved to Unity 6, and when asked about the future of its IronSource and Unity Ads networks, Bromberg stated that they would continue to coexist with Vector.
“We have four or five different ad products,” he explained. “They provide different value to different sets of customers, and we’re going to keep selling those products really aggressively and happily.”
He added that in the weekend just gone, Unity saw “some of the peak days for ad spend that that we’d seen in many years” because of Vector.
“So at a high level, the growth and the performance is encouraging, not just with respect to where we were yesterday or the day before, but overall in terms of the trajectory of our business.”
