I don't mean to be mean or anything, but based on their prior works, Pocket Pair are not in this business for the longterm brand building.
Aside from potential legal issues which may never even materialise, the most immediate consequence for them is other japanese companies potentially valuing their longterm relationship with TPC over a business opportunity with them. Even some western ones. I don't know that Mattel and Hasbro would put in risk their license with Pokémon since it's so profitable for them, and TPC could always just shift their partnerships to domestic companies like Bandai entirely.
Even putting aside Microsoft's cheque for the Game Pass licensing, the game's 8 mil sales on Steam alone generated a revenue of 240 million already, which even accounting for Steam's 30% cut has covered dev costs 20-fold,
according to the game's tiny budget of 6-odd million.
They don't really need to care. Once the next big thing comes along, they'll just put out another derivative of it (Pocket Pair's CEO literally admits that this is how he decides he's going to make games), and if they need an injection of cash, they'll cobble together Palworld 2 and rake it in for a bit.
At this point, basically the only JP devs that will be willing to work with them, are tiny indies who can benefit from parasitising them. KLab, for instance, a dev basically just known for a couple of anime licensed mobile shovelware,
seems to be working with them.
Mizobe can retire with the money he's made off of this thing.
You can enjoy the game for what it is, but no need to lie. A lot of the designs are straight rip offs
