Sell U by May 1, 2026.

Value investors looking at the recent dip in Unity and Take Two need to consider the structural threat posed by the simultaneous release of Project Genie and LingBot World. The latter has demonstrated that neural networks can maintain object permanence and simulate physics at 16fps on enterprise hardware without an underlying game engine. This suggests the moat for companies selling physics engines and asset management tools might be narrower than previously thought if the industry shifts toward generative workflows.