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Beyond Good & Evil 2 Development Troubled?

The creator of the series has reportedly left the Ubisoft.

In the past, Ubisoft has outwardly displayed misgivings when asked about the state of affairs of Beyond Good & Evil 2. But a new rumor floating around asserts that the production of the long-awaited sequel may have been paused, or even worse, Ubisoft might be talking cancelation.

French gaming website Woot Gaming (via Destructoid, via NeoGAF) alleges that the creator of Beyond Good & Evil, Michel Ancel, and one of his developers, have left Ubisoft Montpellier and founded their own studio due to some sort of spat over the follow-up. This in turn has left the entire project in some sort of disarray; it's paused and--provided this report is accurate--some studio gurus are talking about scrapping the title. 

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About a year after Beyond Good & Evil 2's announcement and trailer-zation in 2008, Ubisoft's Laurent Detoc told Industry Gamers that there was a chance it would never see the inside of a disc drive. This new rumor, if true, certainly takes the "chance" part out of the equation.

Of course, you'll have to keep in mind how bad Google translations of websites can be depending on the content of said site. Also, I get the vibe the author, "Poop," might have just been speculating in that last paragraph. It's hard to tell because of the poor translation. And in another bit of house cleaning: Destructoid notes that Ancel has yet to update his LinkedIn profile, which is something you totally do immediately after leaving a place of employment. It's like a rule or something.

I missed Beyond Good & Evil, and I still kick myself for it. I was hoping to jump onto the love train with the sequel. Apparently, I might not get the chance.  Anyway, what do you guys think about this rumor? I'd imagine it's breaking a few hearts out there.     
UPDATE: According to a report about this matter from French gaming blog, French Ubisoft representatives and sources within Ubisoft Montpellier are saying these rumors are completely false.