Palworld Preps for 2025 Full Release Amid Legal Battles and AI Controversy
September 16, 2025
Pocketpair is focusing on refining Palworld for its highly anticipated 1.0 release in 2025, aiming to fix bugs, improve systems, and add content to ensure a polished experience.
Since its launch in January 2024, Palworld quickly gained popularity, with over 32 million players on Steam and numerous awards during early access, though recent player numbers have declined.
The game features survival crafting, monster collecting, base building, dungeon exploration, and multiplayer support, including cross-platform play on Xbox Series X|S and PC.
Palworld has seen significant updates, such as new Pals, raid battles, arena mode, and cross-play, along with expansions to PS5 and Mac, and partnerships with Sony for merchandise.
Despite its success, Palworld faces ongoing legal challenges, including a lawsuit from Nintendo over patent infringement related to gameplay mechanics like creature summoning and riding systems.
There is suspicion about the use of generative AI in designing some creatures, stemming from Pocketpair’s history with AI art tools, though no concrete evidence has been presented.
Pocketpair’s CEO, John Buckley, has publicly addressed the legal issues, describing the lawsuit as a shock and denying allegations of AI use or theft of Pokémon models.
The patent dispute involves systems for capturing characters, aiming, and rideable characters, filed after the game’s early access release, complicating future updates.
Palworld is available on multiple platforms including PC, PS5, Xbox Series X|S, and Game Pass, with a current 25% discount on Steam until September 23, 2025.
In addition to game development, Pocketpair has launched a publishing division to support indie developers, and continues to develop new projects like Dead Take and collaborations such as a Terraria crossover.
The legal and patent issues could impact future gameplay features, especially mechanics related to creature summoning and battles, as the studio prepares for the full release.
Pocketpair plans to support Palworld post-launch with ongoing content updates and is considering a physical release for Xbox, despite its success on Game Pass.
Summary based on 23 sources
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Sources

Sports Illustrated • Sep 16, 2025
Palworld FINALLY Gets an Official Full Release Date: What We Know About 1.0
GameSpot • Sep 16, 2025
Palworld 1.0 Coming In 2026 With A "Massive Amount Of Content," As Dev Teases New Games
NME • Sep 16, 2025
‘Palworld’ is finally getting a full release in 2026