Quick answer: Unity Hub could not unpack the project template into your new project folder. Pick a short, local path without special characters or cloud sync, allow Unity Hub and Unity through Windows Controlled folder access and antivirus, delete the Hub's cached templates so they download again, and if all else fails create the project from the editor's command line.
You click Create Project in Unity Hub and nothing gets created, just a red error about a template. The template is a compressed archive the Hub unpacks into your new folder, and the error means that unpack step failed. The causes are almost all on the file system side.
The exact error
Failed to resolve project template: Failed to decompress [C:\Program Files\Unity\Hub\Editor\2022.3.40f1\Editor\Data\Resources\PackageManager\ProjectTemplates\com.unity.template.3d-8.1.3.tgz]The path shows which template and which editor version. Templates downloaded through the Hub live in the Hub's own data folder instead.
Fix 1: use a simple local path
- Create projects in a short path such as
C:\UnityProjects\or~/UnityProjects/. - Avoid OneDrive, Dropbox and iCloud folders (including Windows' default Documents folder when it is synced). Sync clients lock files during extraction.
- Avoid non-ASCII characters and very long paths. Windows' path length limit still bites some tools.
- Make sure the target drive has space; templates and the initial import need a few GB.
Fix 2: antivirus and Controlled folder access
On Windows, Windows Security > Virus & threat protection > Ransomware protection > Controlled folder access blocks unknown apps from writing to Documents, Desktop and similar folders. If it is on, add Unity Hub.exe and your editor's Unity.exe to the allowed apps, or create projects outside protected folders. Third-party antivirus can quarantine files during extraction in the same way; check its history.
Fix 3: clear the cached templates
A partially downloaded or corrupted template keeps failing until it is replaced. Close Unity Hub and delete its template cache, then reopen the Hub and download the template again:
- Windows:
%APPDATA%\UnityHub\Templates - macOS:
~/Library/Application Support/UnityHub/Templates
If the failing template is the one bundled with the editor (the path is inside the editor install, as above), reinstall that editor version or pick a template that downloads through the Hub.
Fix 4: permissions
If the editor is installed in Program Files and the Hub was once run as administrator, files it created may not be readable by a normal Hub. Run the Hub normally, and if the problem persists, reinstall the editor through the Hub without elevation. On macOS, check the Hub has permission to the folder under System Settings > Privacy & Security > Files and Folders.
Fix 5: create the project without the Hub
The editor can create an empty project itself, which bypasses the Hub's template step entirely. Then add the packages you need (URP, Input System) through the Package Manager.
# Windows
"C:\Program Files\Unity\Hub\Editor\6000.0.23f1\Editor\Unity.exe" -createProject "C:\UnityProjects\MyGame" -quit
# macOS
/Applications/Unity/Hub/Editor/6000.0.23f1/Unity.app/Contents/MacOS/Unity -createProject ~/UnityProjects/MyGame -quitThen use Add > Add project from disk in the Hub.
Starting a new project?
The best time to add crash and bug reporting is before anyone outside your team plays the game. Bugnet's Unity SDK is a single C# file with no dependencies for Unity 2020.3 and later, so it drops into a fresh project in minutes and is there for your first playtest.
Related problems
- How to Fix “No valid Unity license” and Activation Errors Blocking Builds
- How to Fix Unity Stuck on “Compiling Scripts” When Opening the Project
- How to Fix Unity Stuck on “Hold on… (busy for)” in the Editor
Frequently asked questions
What causes “Failed to resolve project template” in Unity Hub?
The Hub could not extract the template archive into your project folder, usually because of a synced or protected folder, antivirus, permissions or a corrupted cached template.
Where does Unity Hub store downloaded templates?
On Windows in %APPDATA%\UnityHub\Templates, on macOS in ~/Library/Application Support/UnityHub/Templates. Delete the folder with the Hub closed to force a fresh download.
Can I create a Unity project without Unity Hub?
Yes. Run the editor executable with -createProject and a path, then add the project to the Hub from disk.
Local path, no sync client, no ransomware protection in the way. That covers most cases.