Rumour alert! Apparently, development on Peter Molyneux's Project Milo has come to a screeching halt, according to a source "close to the situation," reports Eurogamer.
The motion sensing tech project was cancelled yesterday resulting in "19 contractors" being let go. Two teams will now be focusing on the Fable franchise while the old Milo team continues work on the tech for a "Fable themed Kinect game."
Microsoft responded to said rumours with the standard, "Microsoft do not comment on rumour or speculation."