PocketPair May Opt for Live Service Model for Palworld

Palworld CEO Takuro Mizobe discusses the future of Palworld in an interview with ASCII Japan, weighing in on transforming the hit creature-catcher shooter into a live service game and expectations Palworld fans may have.

Pocketpair CEO Weighs in on Turning Palworld Into a Live Service GameIt's Good for Business, but Definitely Challenging

In a recent interview with outlet ASCII Japan, Palworld Chief Executive Officer Takuro Mizobe discussed the potential fate that Palworld may face. To be a live service game or not to be? When specifically asked regarding the future developments for Palworld, Mizobe plainly said that nothing definite has been decided on, for now.

"Of course, we will update [Palword] with new content," he said, with devs Pocketpair looking to add a new map, more new Pals, as well as raid bosses to keep things fresh. "But for the future of Palworld, we are looking at two options," Mizobe added.

"Either we complete Palworld, as is, as a 'packaged' buy-to-play (B2P) game, or it becomes a live-service game (referred to as LiveOps in the interview)," Mizobe explained. B2P is a type of revenue model wherein the full game can be accessed and played after a one-time purchase has been made. Whereas in live service models, otherwise known as games-as-a-service, games typically employ monetization schemes with the continuous release of monetized content.

"From a business perspective, turning Palworld into a live service game would provide more opportunities for profit and help extend the lifespan of the game itself." Though, Mizobe noted that Palworld was not initially designed with the live service model in mind, "so it would certainly be challenging if we were to take that route."

Another aspect that Mizobe said they must carefully consider is Palworld's appeal as a live service game to fans. "And the most important thing is [determining] whether the players want it or not." He added, "Typically, a game must have been already F2P (free-to-play) for it to adopt a live service game model, and then paid content such as skins and battle passes are added subsequently. But Palworld is a one-time purchase game (B2P), so it is difficult to turn it into a live service game."

He further explained, "There are several examples of games that have successfully shifted to F2P," citing blockbuster hits like PUBG and Fall Guys, "but it took several years for both games to successfully make that shift. While I understand that the live service model is good for business, it’s not that simple."

At the moment, Pocketpair is exploring ways to generate more attention and attract more players while keeping its existing player base satisfied, Mizobe said. "We also are advised on implementing ad revenue, but the basic premise is that ad revenue is difficult to adapt, unless it's a mobile game," he added, noting that he cannot recall examples of PC games that benefitted from ad revenue. He additionally remarked on the behavior he's observed of PC players, saying, "Even if it were to work well for a PC game, people who play on Steam would dislike the ads. There are a lot of users who get upset when ads are inserted."

"So, for now, we are carefully deliberating what direction Palworld should take," Mizobe concluded. At the moment, Palworld is still in its early access phase, recently launching its biggest update, Sakurajima, and introducing its hotly-anticipated PvP arena mode.