Palworld developer Pocketpair recently announced that changes made to the game in recent patches were a direct result of the ongoing patent lawsuit filed against them by Nintendo and The Pokémon Company. Launched in early 2024, Palworld quickly became a sensation, breaking sales records and achieving unprecedented concurrent player numbers on Steam, Xbox, and PC via Game Pass. Priced at $30, the game's massive success led to significant profits, which Pocketpair's CEO Takuro Mizobe admitted the company struggled to manage. To further capitalize on the game's popularity, Pocketpair signed a deal with Sony to create Palworld Entertainment, aimed at expanding the Palworld IP, eventually bringing the game to the PS5.
The game's success, however, drew comparisons to Pokémon, with accusations of design plagiarism surfacing. 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 damages for late payments and an injunction to halt Palworld's distribution. The lawsuit centers around three Japan-based patents related to capturing Pokémon in virtual fields, a mechanic mirrored in Palworld with the use of Pal Spheres.
In response to the lawsuit, Pocketpair implemented changes in Patch v0.3.11, released in November 2024. This update removed the ability to summon Pals by throwing Pal Spheres, replacing it with a static summon next to the player, and altered several other game mechanics. These modifications were confirmed to be a direct result of the legal action. Pocketpair stated that without these changes, the gameplay experience would have deteriorated even further.
Further adjustments were made with Patch v0.5.5, where gliding is now performed using a glider rather than Pals. While Pals still offer passive gliding buffs, players must now carry a glider to utilize this feature. Pocketpair described these alterations as "compromises" necessitated by the threat of an injunction that could disrupt Palworld's development and sales.
Despite these changes, Pocketpair remains committed to challenging the lawsuit, focusing on the alleged invalidity of the patents in question. In their official statement, Pocketpair expressed gratitude for their fans' support and apologized for the lack of transparency during the ongoing litigation. They emphasized their dedication to continuing Palworld's development and delivering new content to their community.
At the Game Developers Conference (GDC) in March, John "Bucky" Buckley, Pocketpair's communications director and publishing manager, discussed the studio's challenges, including the unfounded accusations of using generative AI and stealing Pokémon models. Buckley also touched on the unexpected nature of Nintendo's patent lawsuit, highlighting its surprising impact on the studio.
