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In Pokémon the Movie: I Choose You! (2017), there is a scene in which ...

Pikachu speaks (with human language).

This was something that has been controversial among audiences, to say the least.

Is this movie and the events that occur therein considered part of canon?

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From Bulbapedia:

All movies except Pokémon the Movie: I Choose You! are canon to the TV series and usually act the same as filler episodes, as Ash and his friends do not obtain, evolve, or release any Pokémon, and do not earn any Badges or Ribbons. Often a movie takes place chronologically between the episodes.

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Rather than calling it non-canon, it's best to say it take place in alternate continuity and even Wikipedia call it the same.

It's a retelling of the Kanto League saga, but with many changes, like Verity, Sorrel and Cross who replace Misty, Brock and Gary and many Pokemon appeared which were not there in original anime during Kato saga. Additionally, many story aspects were altered or newly introduced, while keeping a few same.

So it's a loose retelling of the Kanto saga taking place in alternate continuity. Now in same continuity, a second film is coming called Pokémon the Movie: Everyone's Story, which will be a pseudo remake of both the Orange Islands Arc of the series and Pokémon: The Movie 2000.

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