Palworld developer Pocketpair has acknowledged that recent updates to the game were necessitated by the ongoing patent dispute with Nintendo and The Pokémon Company.
The breakout hit Palworld launched on Steam at $30 and simultaneously on Xbox/PC Game Pass in early 2024, shattering sales and concurrent player records. Pocketpair CEO Takuro Mizobe admitted the game's unprecedented success resulted in unmanageable profits. The studio quickly leveraged this momentum by partnering with Sony to establish Palworld Entertainment for IP expansion, later releasing a PS5 version.
Following Palworld's explosive debut, scrutiny intensified over similarities between its creature designs and Pokémon. Notably, Nintendo and The Pokémon Company pursued patent litigation rather than copyright claims, seeking 5 million yen (~$32,846) each plus damages and potential sales injunctions.
In November, Pocketpair confirmed it faces litigation regarding three Japanese patents covering creature capture mechanics. Palworld's Pal Sphere system bears resemblance to Pokémon Legends: Arceus' (2022) capture mechanics.
Six months later, Pocketpair has acknowledged that November 2024's v0.3.11 update - which replaced thrown Pal Sphere summons with static spawns - resulted directly from legal pressures. Additional mechanical changes accompanied this patch.
Pocketpair maintains these alterations prevented "greater gameplay deterioration" that could have occurred otherwise.
The developer now confirms the latest v0.5.5 update further modifies mechanics: gliding now requires equipment rather than relying solely on Pals, though creatures still provide buffs. These changes represent concessions to avoid potential injunctions that could halt development.
"While disappointing, these changes are necessary to ensure Palworld's continued development," the studio stated, reiterating its commitment to contesting the patents' validity while implementing required adjustments.
The full statement reads:
> We sincerely appreciate our fans' enduring support during these challenging months. Legal constraints limit our transparency, but we trust our community understands these complexities.
> We continue disputing the patent claims while contesting their validity. However, we've implemented certain compromises to safeguard Palworld's ongoing development.
> The v0.3.11 update (November 2024) modified Pal summoning mechanics among other systems due to litigation requirements. We share players' frustrations but deemed these changes essential.
> The v0.5.5 update introduces further modifications to gliding mechanics, now requiring equipment while maintaining Pal-based buffs.
> We regret disappointing our players but emphasize these measures protect Palworld's future. We remain committed to delivering exciting new content.
At March's GDC, IGN interviewed Pocketpair's communications director John "Bucky" Buckley following his talk on navigating Palworld's controversies. He addressed false generative AI accusations (since debunked) and retracted claims about stolen Pokémon models. Regarding the patent lawsuit, Buckley noted it "shocked the team as an unforeseen challenge".