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Yeah I expect the damage is done at this point; they've broken trust and shown users they're willing to pull the rug out from under them at a moment's notice. Not many folks will be inclined to use their engine going forwards. And to be honest, no great loss, Unity was never a very good engine, its main selling point was that it was cheap and easy to use, and now it's no longer so cheap.

For the sake of those whose games are already out or too far along to feasibly shift engines though, hopefully Unity can still be made to backtrack on the more financially punitive elements of the policy.