Microsoft owned developer Rare won't be returning to the world of Kameo any time soon, thanks to the studio's shift toward multiple Project Natal titles, according to unnamed sources cited by CVG. Microsoft is reported to have canceled a sequel.

CVG's source "close to the platform holder" says that sales of action-adventure eyesore Kameo: Elements of Power are largely to blame for the decision to stop development on a follow-up. According to NPD data, sales of the original Xbox 360 launch title totaled a little more than 300,000, less than half the sales of launch peer Perfect Dark Zero, so that decision may have been a wise one.


(On the bright side, Kameo: Elements of Power sales over the course of four years outperformed two other Rare titles, Viva Pinata: Trouble in Paradise and Banjo Kazooie: Nuts & Bolts.)

But it appears that Microsoft's first-party needs for Project Natal software is taking precedent. Rare is said to be hard at work on a handful of unannounced games for the controller, now under the watchful eye of Microsoft Game Studios creative director Peter Molyneux.

Kameo 2 canned by Microsoft [CVG]

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