Palworld developer Pocketpair has revealed that recent updates to the game were necessitated by an ongoing patent lawsuit filed by Nintendo and The Pokémon Company. Launched in early 2024 on Steam for $30 and included in Game Pass for Xbox and PC, Palworld quickly shattered sales and concurrent player records. The game's massive success led to overwhelming profits, prompting Pocketpair to establish Palworld Entertainment with Sony to expand the IP, eventually bringing the game to PS5.
The game's launch sparked comparisons to Pokémon, with some accusing Pocketpair of copying Pokémon designs. Instead of pursuing a copyright infringement lawsuit, Nintendo and The Pokémon Company opted for a patent lawsuit, seeking 5 million yen (approximately $32,846) each, plus late payment damages and an injunction to halt Palworld's release.
Pocketpair confirmed in November that it was being sued over three Japan-based patents related to capturing Pokémon in a virtual field. Palworld features a similar mechanic where players throw a Pal Sphere to capture monsters, akin to the system in Pokémon Legends: Arceus.
In a recent update, Pocketpair admitted that changes made in Patch v0.3.11, released in November 2024, were a direct result of the lawsuit. This patch altered the summoning mechanic from throwing Pal Spheres to a static summon beside the player, along with other gameplay adjustments. Pocketpair stated that these changes were necessary to prevent further degradation of the player experience.
Further adjustments were made with Patch v0.5.5, which changed the gliding mechanic from using Pals to requiring a glider in the player's inventory, although Pals still offer passive gliding buffs. Pocketpair described these modifications as "compromises" made to avoid an injunction that could disrupt Palworld's development and sales.
Despite these changes, Pocketpair remains committed to challenging the lawsuit, focusing on proving the patents' invalidity. The developer expressed regret over the necessary adjustments and hopes for understanding from its fanbase, emphasizing its dedication to continuing Palworld's development and delivering new content.
At the Game Developers Conference in March, John "Bucky" Buckley, Pocketpair's communications director and publishing manager, discussed the studio's challenges, including accusations of using generative AI and copying Pokémon models, which have been debunked. Buckley also mentioned the unexpected nature of the patent lawsuit from Nintendo.
