Are Nintendo Co., Ltd. and The Pokémon Company scared of Palworld’s success or being greedy?
Palworld is a controversial game, but millions of gamers love it, apart from some devoted Pokémon fans who hate it. Upon its January Early Access release on PC and Xbox, Palworld attracted an instant following of millions of gamers. Including the PS5 version, the game’s sales and player base have surpassed 15 million units and 25 million, respectively.
Pocket Pair was so successful that it even reached an agreement with Sony Music Entertainment (Japan) and Aniplex Inc. to establish a joint venture firm named Palworld Entertainment. The purpose of this venture was to expedite the “multifaceted global development of Palworld” and broaden the brand’s scope beyond the confines of the game itself.
But things didn’t go as planned for Pocket Pair. Nintendo and The Pokémon Company didn’t take the success of Palworld lightly since the game turned out to be a competitor of their Pokemon game series like Pokémon Scarlet and Violet or Pokémon Legends: Arceus Video game. Eventually, in 2024, these two companies, Nintendo Co., Ltd. and The Pokémon Company, sued Pocket Pair, Inc. for a total of 10 million Japanese yen, along with all three of these Pokémon patents—Patents No. 7545191, 7493117, and 7528390.
Despite the significant lawsuit over patents that Nintendo and The Pokémon Company launched against it in September, Pocket Pair—the studio responsible for Palworld—has now announced an update. A report from Pocket Pair indicates that Nintendo and The Pokémon Company are suing each other for 5 million yen (about $32,846), along with damages for late payments and a restraining order against Palworld that, if granted, will stop the distribution of the game.
Nintendo says that Pocket Pair, Inc. violated their trademarks, which revolve around capturing Pokémon-like critters in an open environment, and this has bigger implications. The main patent at issue here is for Palworld’s game mechanic, which involves catching monsters with a ball-like item called the Pal Sphere. Another patent mentions riding Pokémon, a function that is also present in Palworld. Pocket Pair has stated their intention to “persist in expressing our stance in this matter during succeeding legal processes.”
