In the wake of Palworld's explosive launch earlier in 2024, the game quickly became a phenomenon, setting records for sales and concurrent players on Steam and Game Pass across Xbox and PC platforms. Priced at $30, the game not only captivated gamers but also overwhelmed its developer, Pocketpair, with massive profits that the studio struggled to manage. Capitalizing on this success, Pocketpair swiftly moved to expand its reach, inking a deal with Sony to create Palworld Entertainment, a new venture aimed at further developing the Palworld IP. This expansion culminated in the game's release on the PS5.
However, the game's success has not been without its challenges. Comparisons between Palworld's creatures, known as Pals, and Pokémon led to accusations of design plagiarism. Rather than pursuing a copyright infringement case, Nintendo and The Pokémon Company opted for a patent lawsuit, seeking damages of 5 million yen (approximately $32,846) each, along with late payment fees and an injunction to halt Palworld's distribution.
In November, Pocketpair acknowledged the three patents at the heart of the lawsuit, which involve mechanics similar to those found in Pokémon Legends: Arceus, specifically the act of capturing creatures in a virtual field using a ball-like object called a Pal Sphere. By May 2024, Pocketpair was forced to alter these mechanics in response to legal pressures. Patch v0.3.11 removed the ability to summon Pals by throwing Pal Spheres, replacing it with a static summon mechanism. Subsequent updates, including Patch v0.5.5, further modified gameplay, changing how gliding is performed from using Pals to requiring a glider in the player's inventory.
Pocketpair described these changes as "compromises" necessitated by the ongoing legal battle, stating that failure to comply could lead to an even worse experience for players. However, the modding community has stepped in to restore some of these removed mechanics. Just a week after Patch v0.5.5, a mod named Primarinabee’s Glider Restoration was released on Nexus Mods, allowing players to glide with their Pals again. This mod, which cleverly bypasses the changes made in the recent patch, has already seen hundreds of downloads since its release on May 10.
Additionally, another mod attempts to bring back the throw-to-release Pal mechanic, though it doesn't fully replicate the original feature. The availability of these mods raises questions about their longevity, given the ongoing legal disputes.
At the Game Developers Conference in March, IGN had the opportunity to discuss these issues with John "Bucky" Buckley, Pocketpair's communications director and publishing manager. During his talk titled 'Community Management Summit: A Palworld Roller Coaster: Surviving the Drop,' Buckley addressed the studio's challenges, including debunking claims of using generative AI and stealing Pokémon models. He also touched on the unexpected nature of the patent lawsuit from Nintendo, which he said caught the studio completely off guard.
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