As arguably the single game that put the Xbox franchise on the market, though fans were thrilled with the Halo movie announcement news, considering that Peter Jackson and WETA would be involved, it looks now that the movie version of the popular game franchise isn't going to be happening. And fans everywhere wept.

From the article:

Variety reported that the two studios demanded that Microsoft and executive producers Peter Jackson and Fran Walsh lessen their cuts of the profits, but a compromise wasn’t met, effectively dooming the deal.

Microsoft was due to receive upfront “the bulk” of $5 million on October 15. However, the report said that Fox and Universal opted to play “hardball” just prior to the deadline. The software firm was also set to receive 10 percent of gross for rights to the game and the Alex Garland-penned script.

Variety cited earlier rumors that the film deal was nixed because of concerns regarding an over-budget and the inexperience of 27-year-old director Neill Blomkamp, who has yet to direct a feature-length movie. The rumors were denied by a rep for Jackson and Walsh.

Read the full article over at next-gen.biz