"Palworld Developer to Patch Game Amid Lawsuit from Nintendo, Pokémon"

Palworld developer Pocketpair has revealed that recent patches to the game were implemented as a direct result of an ongoing patent lawsuit filed by Nintendo and The Pokémon Company. Launched early in 2024, Palworld hit the market priced at $30 and was immediately available on Game Pass for Xbox and PC, achieving record-breaking sales and concurrent player numbers. The success of Palworld was so overwhelming that Pocketpair's CEO, Takuro Mizobe, admitted the company was unprepared for the massive profits. In response to this success, Pocketpair quickly capitalized by forming a new business venture with Sony, Palworld Entertainment, to expand the IP, and later released the game on PS5.

The game's launch drew comparisons to Pokémon, with some accusing Pocketpair of copying Pokémon designs. However, instead of pursuing a copyright infringement lawsuit, Nintendo and The Pokémon Company opted for a patent lawsuit, seeking 5 million yen (around $32,846) each, plus damages for late payment and an injunction to block Palworld's release.

In November, Pocketpair confirmed it was being sued over three Japan-based patents related to capturing Pokémon in a virtual field. Palworld's mechanic of capturing monsters with a Pal Sphere in a field environment is similar to the mechanic featured in the 2022 Nintendo Switch exclusive, Pokémon Legends: Arceus.

Six months later, Pocketpair admitted that the changes made in Patch v0.3.11, released in November 2024, were indeed due to the lawsuit. This patch removed the ability to summon Pals by throwing Pal Spheres, changing it to a static summon beside the player, along with other game mechanic adjustments. Pocketpair explained that without these changes, the gameplay experience would have deteriorated further.

Additionally, with the release of Patch v0.5.5, Pocketpair introduced further alterations. Gliding will now require a glider from the player's inventory rather than using Pals, although Pals will still offer passive gliding buffs. These changes, described by Pocketpair as "compromises," were made to avoid an injunction that could halt Palworld's development and sales.

Pocketpair expressed disappointment over these necessary changes but hopes fans understand their importance in preventing further disruptions to Palworld's development. The company remains committed to challenging the lawsuit's claims, focusing on the patents' invalidity.

Pocketpair's full statement reflects gratitude for fan support and apologizes for the limited information shared during the litigation. They reaffirm their commitment to developing Palworld and delivering new content to their fans.

At the Game Developers Conference (GDC) in March, IGN interviewed John "Bucky" Buckley, communications director and publishing manager for Pocketpair. Buckley's talk, 'Community Management Summit: A Palworld Roller Coaster: Surviving the Drop,' discussed Palworld's challenges, including accusations of using generative AI and stealing Pokémon models, both of which Pocketpair has refuted. Buckley also mentioned the unexpected nature of Nintendo's patent lawsuit against the studio.