Pokémon Sleep's development is transitioning from Select Button to Pokémon Works. This newly formed Pokémon Company subsidiary will now oversee the game's ongoing development and future updates.
Launched in March 2023, Pokémon Works, a subsidiary of The Pokémon Company, has assumed responsibility for Pokémon Sleep. Previously, development and operation were shared between Select Button Co., Ltd. and The Pokémon Company. An in-app announcement (via machine translation) confirmed the gradual transfer of development and operational responsibilities from Select Button to Pokémon Works.
Currently, this announcement is only visible in the Japanese version of the app. The global impact of this change remains to be seen, as it's not yet reflected in the game's global news section.
Pokémon Works' current projects are largely unknown, however, their website states that it's a collaborative effort between The Pokémon Company and Iruka Co., Ltd.
Interestingly, Pokémon Works shares a Tokyo location with ILCA, the studio behind the Pokémon Brilliant Diamond and Shining Pearl remakes and a co-developer of Pokémon HOME. Their representative director, Takuya Iwasaki, confirmed Pokémon Works' involvement in Pokémon HOME's development.
While their Pokémon-related work has been limited, Pokémon Works aims to "create an experience that makes Pokémon more real... so that everyone can enjoy meeting and adventuring with Pokémon." How this vision will be applied to Pokémon Sleep remains to be seen.