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Reinvestment

Palworld, as we’ve established, is having a moment. A sensation, if you will. The latest figures is it selling 25 million copies across Steam and Xbox in a single month. It also breached the 2.1 million concurrent players milestone on Steam, which puts it at #2 of all time, above even Counter-Strike. Palworld has not sustained that concurrency, but it’s nevertheless in exclusive company.

Captured 2/29/24

That’s not really what I wanted to talk about today though.

I want to talk about the Japanese blog post by the Palworld game director that was released three days before the official launch. It details the 5+ miracles that he credits with even being able to get Palworld released at all. For example, the gunplay was all designed by a 20-year old convenience store clerk they found on Twitter, who created 3D renders of weapon reload animations in his free time. There are other bits of interesting serendipity, so let Google auto-translate for you and take the ride.

One element that struck me in particular though: funding.

So I thought the other way around. What is the maximum budget? The most obvious upper limit would be the limit at which the company would go bankrupt. Of course, you can borrow money, but let’s think about that when the balance in your bank account becomes zero. The budget limit is initially until the balance in your bank account reaches zero. When it reaches zero, you can borrow money.

In that case, do you need to manage your budget?

No, all you have to do is borrow money or release money just before the company goes bankrupt and your account balance drops to zero.

Well, we’ll probably be able to develop it for about two more years. For the time being, I decided to keep making it without worrying about the budget. We want to complete it as soon as possible, so let’s hire a lot of people.

So that was Miracle #5, in that they basically built Palworld without setting a budget at all. It’s actually a bit more interesting than even that, because they didn’t originally want to spend a lot of time making the game at all. But, due to the positive feedback from the initial trailers, they decided to go for broke.

What really gets me though is this last part:

Almost all of the company’s money was gone.


It’s as calculated!


Well, maybe it’s as calculated…?
No matter how you look at it, it’s just a miracle.


It is not known how much money it cost. I don’t even want to see it.

Judging from Craftopia’s sales, it’s probably around 1 billion yen…
Because all those sales are gone.

In case you were unaware, before Palworld this company released Craftopia. Which is also still in Early Access. The game isn’t bad, actually, and shows a lot of promise under the jank. Or showed. Because although it is clear that Craftopia’s measured success bankrolled Palworld, it’s not so clear whether any of those millions of Palworld dollars will make their way back back to Craftopia. And that’s just sad.

I get it – this is how most things work pretty much everywhere, especially in the game industry. Release game, collect revenue, use money to continue employing people to create new game, repeat. Indeed, if a particular release falls flat on its face, not only is that series’ future imperiled, sometimes the company itself is at risk. But in this case, the original game (Craftopia) isn’t even done yet. The creators of ARK infamously released a DLC to their Early Access game, but it was arguably necessary because they were running out of cash ($40 million lawsuit settlement will do that to you). I get no sense that Pocket Pair were in similar straits. Rather, it was likely a cold calculation that the Craftopia well was drying up and it was time to move on to other milkshakes, to mix metaphors.

Obviously, the move worked out for Pocket Pair. And, yeah, for millions of players too. I am happy for these devs’ success, as their willingness to try random shit and just go for it is (hopefully) an inspiration to other studios. I just hope some of that Palworld money comes back to Craftopia in a meaningful way, and not just a “we’ll keep these five original dudes employed in a broom closet” way. They don’t have to and economically it would probably be a mistake. But I think they owe it to themselves.

And that’s because without Craftopia there literally wouldn’t be a Palworld. Not just in the funding aspect either. Craftopia actually has capture spheres, riding creatures, and even the ability to capture human NPCs. This is a “Yo dawg, I put Early Access in your Early Access” situation – Palworld is probably 25% of what Craftopia already delivered years ago. Is it the best 25%? Well, it’s hard to argue against a literal pile of free speech cash.

I suppose we’ll have to see how Pocket Pair proceeds. There is technically still a roadmap for Craftopia (circa December 2023) and there have been a few bug patches released since then. I seriously doubt that any amount of reinvestment will have Craftopia achieve a comparable level of success as Palworld – clearly even AAA games have been blown aside – but I do hope that they at least replenish the coffers and allow Craftopia to reach release with the vision and funds it originally earned.