Palworld Hits 32 Million Players During Year 1 as Nintendo Pokémon Lawsuit Looms Over the Horizon

Palworld, the crafting and survival game dubbed "Pokémon with guns," has surpassed 32 million players across Steam, Xbox, and PlayStation 5 since its January 2024 early access launch. Developer Pocketpair expressed gratitude for this milestone, promising continued efforts to improve the game in its second year. The game's initial launch, priced at $30 on Steam and included in Xbox Game Pass, broke sales and concurrent player records, leading to such significant profits that Pocketpair initially struggled to manage them. This success spurred a partnership with Sony, creating Palworld Entertainment to expand the IP and bring the game to PlayStation 5.

However, Palworld's meteoric rise is overshadowed by a high-profile patent lawsuit with Nintendo and The Pokémon Company. Following the game's launch, comparisons to Pokémon, and accusations of design similarities, Nintendo and The Pokémon Company filed a lawsuit based on three Japanese patents related to capturing creatures in a virtual field. These patents center around a mechanic similar to that in Pokémon Legends: Arceus, involving capturing creatures using a ball-like object (Pal Spheres in Palworld). Interestingly, Pocketpair recently altered the Pal summoning mechanic, sparking speculation about its connection to the lawsuit.

Patent experts view the lawsuit as a significant threat to Palworld, highlighting the stakes involved. Pocketpair, however, remains defiant, pledging to contest the lawsuit in court. Despite the legal battle, Pocketpair continues to release major updates for Palworld and has even pursued successful crossovers with other popular games, including a collaboration with Terraria.