That depends! Generally, if you are developing for web-player, do NOT exceed a 700 pixel height. Many users have smaller screens, and on top of that, the web browser will eat a good 100 pixels of that screen space.
If you are publishing for desktop, I would just let users use the Unity resolution dialog.
If that is not an option, I would recommend using [http://docs.unity3d.com/Documentation/ScriptReference/Screen.SetResolution.html][1] to set the resolution of the screen dynamically depending upon the user's max resolution. You can get that maximum resolution by using [http://docs.unity3d.com/Documentation/ScriptReference/Screen-resolutions.html][2]
If it is of upmost importance that all users have the same resolution ratio, I would recommend iterating through Screen.resolutions and dividing the width by the height until you find a ratio that matches that of your game. If you cannot find one, you can attempt to invent a custom resolution that has your needed ratio, but fits inside the maximum resolution of the given monitor. This may not work in fullscreen mode, though, so be warned.
[1]: http://docs.unity3d.com/Documentation/ScriptReference/Screen.SetResolution.html
[2]: http://docs.unity3d.com/Documentation/ScriptReference/Screen-resolutions.html
In my opinion, always scale down. There is nothing more frustrating for me than a resolution so large that it doesn't even fit on my screen.
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