Palworld's Pocketpair Forced to Patch Game Amid Nintendo and Pokémon Lawsuit

Palworld developer Pocketpair has recently disclosed that changes made to the game through patches were necessitated by an ongoing patent lawsuit with Nintendo and The Pokémon Company. Palworld, launched early in 2024 on Steam for $30 and included in Xbox and PC Game Pass, quickly shattered sales and concurrent player records. The overwhelming success led Pocketpair to form Palworld Entertainment with Sony to expand the IP, eventually bringing the game to PS5.

The game's launch sparked discussions about similarities between Palworld's creatures, known as Pals, and Pokémon, leading to accusations of design theft. However, instead of pursuing a copyright infringement lawsuit, Nintendo and The Pokémon Company opted for a patent infringement suit, seeking 5 million yen each, late payment damages, and an injunction against Palworld.

Pocketpair confirmed in November that it was being sued over three Japan-based patents related to capturing Pokémon in a virtual field. Palworld includes a similar mechanic with the Pal Sphere, akin to the one in Pokémon Legends: Arceus. Following this, Pocketpair admitted that Patch v0.3.11, released in November 2024, was a direct result of the lawsuit, as it removed the ability to summon Pals by throwing Pal Spheres and introduced a static summon method. This patch, along with other mechanical changes, was made to avoid further gameplay deterioration.

Additionally, Pocketpair announced that Patch v0.5.5 would change the gliding mechanic from using Pals to utilizing a glider, although Pals would still provide passive gliding buffs. These alterations were described as "compromises" made under the threat of an injunction that could halt Palworld's development and sales.

Despite these changes, Pocketpair remains committed to contesting the lawsuit, focusing on the invalidity of the patents. In a full statement, the company expressed gratitude for fan support, apologized for limited transparency due to the ongoing legal battle, and reaffirmed their dedication to developing Palworld and delivering new content.

During the Game Developers Conference in March, Pocketpair's communications director and publishing manager, John "Bucky" Buckley, discussed these challenges at the 'Community Management Summit: A Palworld Roller Coaster: Surviving the Drop.' Buckley detailed Palworld's struggles, including debunked accusations of using generative AI and stealing Pokémon models, and briefly touched on the unexpected nature of the patent lawsuit.