Unity, a maker of video game engines, has entered a definitive agreement to acquire Weta Digital, the visual effects studio behind Lord of the Rings, for $1.6 billion.

Unity purchases Weta Digital’s visual-effects tool suite for $1.6 billion Major deal continues the slow merging of movie-creation and game-creation tools.

Unity’s new Unity Wētā Tools division, set up to deliver the most widely used and trusted solutions for artists to collaborate and create 2D and 3D content, will showcase the latest ...