Palworld's Unexpected Path: From Massive Success to Indie Focus

Pocketpair, the developer behind the wildly successful Palworld, has amassed significant profits, potentially enough to fund a "beyond AAA" title. However, CEO Takuro Mizobe has revealed a different strategic direction for the studio.

Despite Palworld's tens of billions of yen in revenue (approximately tens of millions of USD), Mizobe emphasizes that Pocketpair isn't structured to handle a project of that magnitude. He explains that Palworld's development leveraged profits from previous titles, Craftopia and Overdungeon. This time, however, the company will not scale up to match its financial success.

Mizobe stated, "Scaling our next game based on these proceeds would not only exceed AAA standards but also overwhelm our current organizational structure." He prefers to focus on "interesting indie games," believing the indie scene offers better conditions for global success, thanks to improved game engines and industry trends. He also highlights the indie community's crucial role in Pocketpair's growth and expresses a desire to give back.

Instead of expanding the team or upgrading facilities, Pocketpair plans to expand the Palworld IP into diverse mediums. Palworld, currently in early access, continues to receive positive feedback and regular updates, including a PvP arena and the Sakurajima island expansion. Furthermore, a partnership with Sony has established Palworld Entertainment to manage global licensing and merchandising.

This decision reflects a conscious choice to prioritize creative freedom and community engagement over pursuing a larger, potentially riskier, AAA development model.