Palworld Reaches 32M Players Amidst Nintendo Pokémon Legal Threat

Author : Audrey May 16,2025

Since its early access launch in January 2024, Palworld has captivated over 32 million players across all platforms, including PC via Steam, Xbox, and PlayStation 5. Dubbed "Pokémon with guns" before its record-breaking release, the crafting and survival game developed by Pocketpair has taken the gaming world by storm.

"Thank you so much!" Pocketpair expressed on Twitter. "As always, your support means the world to us!"

John 'Bucky' Buckley, Pocketpair's Communications Director and Publishing Manager, added, "We will continue to work hard to make Palworld year 2 even better!"

Launched on Steam for $30 and directly into Game Pass on Xbox and PC, Palworld shattered sales and concurrent player number records. The game's success was so overwhelming that Pocketpair's boss, Takuro Mizobe, admitted the developer struggled to manage the massive profits. In response, Pocketpair quickly capitalized on this success by signing a deal with Sony to establish Palworld Entertainment, a new venture aimed at expanding the game's intellectual property and bringing it to the PlayStation 5.

Amidst ongoing updates to Palworld, a significant legal challenge looms on the horizon: a high-profile patent lawsuit filed by Nintendo and The Pokémon Company. Following Palworld's launch, comparisons were drawn between Palworld's Pals and Pokémon, leading some to accuse Pocketpair of copying Pokémon designs. Instead of pursuing a copyright infringement lawsuit, Nintendo and The Pokémon Company opted for a patent lawsuit, seeking 5 million yen (approximately $32,846) each, plus late payment damages and an injunction to block Palworld's release.

In November, Pocketpair acknowledged the three Japan-based patents it is being sued over, which involve the mechanic of catching Pokémon in a virtual field. Palworld features a similar mechanic where players use a Pal Sphere to capture monsters, reminiscent of the system in the 2022 Nintendo Switch exclusive, Pokémon Legends: Arceus. Recently, Pocketpair subtly altered how players summon Pals, prompting speculation that these changes were made in response to the ongoing patent lawsuit.

Patent experts view Nintendo and The Pokémon Company's legal action against Pocketpair as a testament to the threat posed by Palworld. The outcome of this lawsuit remains uncertain, with Pocketpair determined to defend its position in court, stating, "We will continue to assert our position in this case through future legal proceedings."

Despite the legal challenges, Pocketpair has not slowed down, continuing to release major updates for Palworld and forging collaborations with other major video games, including a crossover with Terraria.