Unity Software Leaders Accused of Insider Trading on Bad Metrics

An investor sued senior leaders of Unity Software Inc. in Delaware, claiming they falsely hyped its user metrics while some of them made insider stock sales worth more than $730 million.

The shareholder derivative lawsuit targets current and former members of Unity’s board and management. It accuses them of hiding major flaws in the company’s “audience pinpointer” tool, which is supposed to help advertisers work around user data protections built into the latest iPhone models.

After concealing known technical defects and a wave of customer complaints for at least a year, Unity was forced to acknowledge its “revenue-expensive issue” in ...