Since its announcement in June 2021, Palworld has often been labeled as "Pokémon with guns." However, according to Pocketpair, the developers behind the game, this oversimplified comparison originated from Western media and continues to shape misconceptions about the project.

John Barcly, the Director of Communications at Pocketpair, revealed that the true inspiration for Palworld was not Pokémon but rather ARK: Survival Evolved. From the outset, the team aimed to create a survival game centered around taming creatures, constructing shelters, and exploring, rather than focusing on turn-based battles with cute monsters.

In 2024, legal challenges emerged when Nintendo and The Pokémon Company filed a lawsuit against Pocketpair. The companies accused the studio of patent infringement, citing mechanics such as capturing creatures, using rideable characters, and throwing objects within a virtual environment. They each demanded compensation amounting to 5 million yen (approximately $33,683).

Pocketpair responded by stating they were unaware of the patents and initiated an internal investigation. Despite the legal pressure, development continued unabated. In December 2024, the studio released a major expansion titled Feybreak. This update introduced new companions, weapons, city-building elements, and a vast island zone, further enriching the gameplay experience.

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