Pokemon vs. PalWorld

Copy or Inspiration? "A Quick Breakdown of the Legal Battle"

In a significant move within the gaming industry, Nintendo and The Pokémon Company have filed a lawsuit against Pocketpair, the developers of PalWorld, over alleged intellectual property violations. This lawsuit highlights ongoing issues around copyright infringement in the gaming space, with serious implications for brand rights, creativity, and game development.

What is PalWorld?

PalWorld, most commonly known as "Pokemon with Guns" is a multiplayer survival crafting game where players capture, train, and battle creatures known as "Pals," which bear strong, striking similarities to the Pokémon franchise. The game’s character designs, mechanics, and the "orb-like" objects used to catch Pals (including the three tics of the ball to confirm a creature has been caught, to then being transferred to the players Pokedex style "Paldek Database") have all been flagged as infringing on patents and copyrights held by Nintendo and The Pokémon Company. This led Nintendo to pursue legal action, claiming the game mirrors key elements of their intellectual property, which has become a global icon.

The heart of this lawsuit lies in Nintendo's claim that PalWorld does more than simply draw inspiration from Pokémon. It infringes on the brand’s intellectual property by copying not only the visual design and game world aesthetics, but also many core game mechanics that Pokémon is known for. Many in the gaming industry have noted the undeniable similarities between the two, which may form the foundation of Nintendo’s legal case.

The Pokemon Company & Nintendo's Initial Response

   The Pokémon Company's initial response back in January 2024' when PalWorld officially released on Stream was very vague stating “We have received many inquiries regarding another company’s game released in January 2024, We have not granted any permission for the use of Pokémon intellectual property or assets in that game. We intend to investigate and take appropriate measures to address any acts that infringe on intellectual property rights related to the Pokémon. “We will continue to cherish and nurture each and every Pokémon and its world, and work to bring the world together through Pokémon in the future.” Accusations were then amplified later that weekend when significant concerns among senior character artists started appearing on 'X' comparing the proportions of the character models between the two games.

Fast forward to June 2024, The Pokémon Company publicly confirmed that it was actively investigating PalWorld for potential intellectual property violations, following a wave of even more attention brought by senior artists and industry veterans. These professionals highlighted alarming similarities between the proportions, designs, and overall aesthetics of PalWorld’s creatures, which bear striking resemblances to Pokémon. As one senior artist commented, "The character models share nearly identical proportions in a lot of cases, which can't be brushed off as just coincidence." Another in an interview with VGC  (videogameschronicle.com) went on to say “You cannot, in any way, accidentally get the same proportions on multiple models from another game without ripping the models. Or at the very least, tracing them meticulously first. I would stand in court to testify as an expert on this.” reinforcing the claim that the game crosses the line from inspiration to outright copying. This is especially evident in the game's main creature designs, which seem to mimic not only the visual style but also the feel of Pokémon

This initial investigation prompted The Pokémon Company to dig deeper, gathering evidence to build a legal case. They argue that PalWorld not only borrows heavily from Pokémon's core gameplay mechanics but also mirrors their visual design language too closely, from creature proportions to animation styles. For a brand as globally iconic and lucrative as Pokémon, the protection of their IP isn't just a matter of principle, it's a major financial imperative.

Nintendo’s Response: A Firm Stand on IP Protection

After eight months of speculation... on September 19, 2024', Nintendo released an official statement explaining the lawsuit. The company emphasized that protecting intellectual property is a critical responsibility they take seriously. They accused Pocketpair of infringing on their patents, particularly those concerning creature-catching mechanics, and cited that they had been preparing this legal action (for the past eight months) to prevent PalWorld from damaging their brand and undermining the decades of work that went into Pokémon.

Nintendo has historically taken an aggressive stance on IP protection, and this case is no different. Nintendo has previously taken legal action against games that have mirrored their concepts, including the Pixelmon case, which resulted in a shutdown of the game. With their thorough legal strategy, they are positioning this lawsuit as a precedent-setting case that will further define the limits of intellectual property in gaming.

Pocketpair’s Defense: Unaware of Patent Infringements?

In response to the lawsuit, Pocketpair claimed they were unaware of the specific patents Nintendo accused them of infringing. Their defense centers around the notion that the similarities between PalWorld and Pokémon were not intentional or covered by any known patents. They deny any direct copying, though many analysts believe that such an argument is weak in light of the clear overlaps in character design and gameplay.

Pocketpair's defense seems to acknowledge some level of similarity but reframes it as mere inspiration rather than outright copying. However, this defense is known to fall flat in court, where judges often lean in favor of protecting well-established brands, especially when there’s a strong resemblance between products.

PalWorld's Commercial Success

Despite the looming lawsuit, PalWorld has been incredibly successful in the marketplace. The game has sold over 15+ million copies on PC alone, with a player base exceeding 25+ million across PC and Xbox. Its success has been fueled by its unique blend of creature battling and crafting mechanics, though much of its player base likely sees it as an alternative to Pokémon.

This level of commercial success raises the stakes significantly. If Nintendo is successful, Pocketpair could face heavy financial losses, potential removal of PalWorld from stores, and changes to its gameplay or visuals. However, given the game's success, it’s clear that Pocketpair will fight hard to maintain its current form.

PalWorld's Sony Music & Aniplex Partnership

Despite the ongoing legal challenges, PalWorld continues to attract significant commercial interest. In a surprising move, Sony Music Group, through its subsidiary Aniplex, formed a joint venture with Pocketpair to expand the reach of PalWorld beyond the interactive gaming sphere. The partnership aims to develop global licensing and merchandising opportunities for the game, including exclusive merchandise that debuted in June at the Bilibili World 2024' in Shanghai.

The involvement of major players like Sony Music and Aniplex demonstrates the commercial potential of PalWorld, despite its striking similarities to Pokémon. However, this partnership may add fuel to the legal fire. As PalWorld merchandise starts rolling out globally, Nintendo's claims could expand, particularly as PalWorld's marketing campaign extends into areas that directly compete with Pokémon’s vast merchandising empire.

This joint venture also highlights the high stakes at play, Pocketpair's commercial future is increasingly tied to the success of PalWorld beyond the game itself. Should the lawsuit go in Nintendo’s favor, the financial consequences for both Pocketpair and its corporate partners could be severe. The expansion into merchandise and global markets means the legal outcome will resonate far beyond the gaming world, potentially setting a precedent for how companies can, or cannot profit from games that echo established franchises.

*Pocketpair Partners with Sony Music Group & Aniplex Media for merchandise, tv & film licensing.

Commercial Complications: PalWorld PS5 Version & TGS 24'

   Adding to the complications of the lawsuit, it's now being reported that the PS5 version of PalWorld has been quietly removed from the list of games appearing at the Tokyo Game Show (TGS) 2024'. This removal could signal industry apprehension surrounding the game's ongoing legal challenges. It suggests that Sony, and potentially other industry partners, are distancing themselves from the controversy in anticipation of the lawsuit's outcome. If other platforms follow suit, Pocketpair could see significant disruptions to PalWorld's distribution, making the lawsuit even more critical for their future.

Why This Case Matters: The Larger IP Debate

The PalWorld case isn’t just another copyright lawsuit; it’s part of a larger conversation about the boundary between inspiration and imitation. Should Pocketpair prevail in court, it could embolden other developers to borrow heavily from successful franchises, leading to a wave of games that mirror iconic titles without respecting intellectual property rights.

As someone who supports Nintendo’s side in this case, I believe that defending intellectual property is critical to maintaining creativity and originality in gaming. Copyright laws exist for a reason — to protect the creators and brands that have built something meaningful. If Pocketpair is allowed to profit off designs that are clearly influenced by Pokémon, it could lead to a dilution of original concepts in the industry.

What’s Next for Nintendo?

Nintendo's next steps will likely involve pushing the lawsuit aggressively. They may request an injunction to stop PalWorld's sales while the trial proceeds, and they will likely seek financial damages. Given their track record of never losing a litigation that they started, they will most likely present detailed evidence comparing the two games, demonstrating the clear overlap in both design and mechanics.

A settlement remains a possibility, but it is unclear whether either party is open to this option. Should the trial continue, it could last months or even years, especially if appeals are filed. Nintendo has the resources and legal expertise to wage a prolonged legal battle, while Pocketpair may feel pressured to settle or make concessions.

Could Pocketpair Win?

While there is always a chance Pocketpair could win, it seems unlikely given the strength of Nintendo’s legal team and the clear evidence of similarities between PalWorld and Pokémon. If Pocketpair is able to present a compelling defense, they could avoid the most severe consequences, such as halting PalWorld's distribution. However, even if Pocketpair wins, the potential damage to creator and brand rights could be immense.

Precedent-Setting Cases & Industry Impact

Nintendo has faced similar lawsuits before and often emerged victorious. Past cases, such as Pixelmon and other fan-made Pokémon projects, have ended in Nintendo successfully enforcing their IP rights. Allowing PalWorld to continue could undermine these previous victories and encourage a flurry of copycat games.

Nintendo's legal action here could help set a global precedent against future infringements, ensuring that other developers think twice before attempting to emulate iconic franchises. For fans and creators alike, this lawsuit is about more than just PalWorld, it’s about the future of creativity and ownership in gaming.

Conclusion

Ultimately, I side with Nintendo in this case, as I believe the integrity of intellectual property must be preserved. PalWorld's resemblance to Pokémon is undeniable, and while Pocketpair has crafted a popular game, it’s important to respect the legacy and hard work that companies like Nintendo have invested in their creations.

As this case unfolds, the gaming world will be watching closely. The outcome could have lasting implications for how games are made, marketed, and protected — and could shape the next generation of games inspired by iconic franchises.

*Nintendo Patent (Japan Patient Office (JP)

*A Nintendo Patent application filed Dec. 2021' in the U.S. https://ppubs.uspto.gov/dirsearch-public/print/downloadBasicPdf/20230191255?requestToken=eyJzdWIiOiI3NzQyMDE2MC05M2I1LTRkMTEtYWRhYi0xNjE2MmFkM2FlMDkiLCJ2ZXIiOiIzODExMjdiZS01MWYyLTRlNzYtYWNiZS0yMWY3MmEzMDM5ZjciLCJleHAiOjB9