http://www.computerandvideogames.com/article.php?id=261533 
 
Still technically a rumor, but with zero recent news and the letting go of staff this year, it's all but confirmed. The rumor is also said to have come from a "cast iron" source.   
 
Rather striking news, not just because of the sheer sum of money involved, but also due to the equal if not greater failure of APB reported recently. Think of where that money could've gone.
 
I'm pretty sure games like Mass Effect 2 and Red Dead Redemption have around the same budget; just goes to show that regardless of the development budget, misdirection and lack of organization (and possibly lack of talent as well) can really screw a game. 

Pretty impressive they spent $50 million on a game I just learned it existed when I read it was cancelled.

I thought the game was really hokey in a good way.  Whether or not it was gonna be a good game, I really don't know.

:(

Shame, seemed like an interesting idea.

The shocking thing isn't that the game was canceled, it's that it was ever given a $50 million budget to begin with.

Aw man, now how will I be able to throw out the dorks from my parties?

"another $50 million down the drain"
 
This really is Vegas!

" "another $50 million down the drain"  This really is Vegas! "

That's too bad, I guess. I was following it (by following I mean I watched the trailer like a year ago) too.

" "another $50 million down the drain"  This really is Vegas! "

Fortunately for the people who are upset, the site is not down yet & this was three months ago!

" Pretty impressive they spent $50 million on a game I just learned it existed when I read it was cancelled. "

Can't say I didn't see this coming, shame to see something with so much investment in it cancelled, plus I had a morbid curiosity for how bad this game really could of been. 

What was the game supossed to be about anyway?

" What was the game supossed to be about anyway? "

" @CrazyChris said:

" Pretty impressive they spent $50 million on a game I just learned it existed when I read it was cancelled. "

"

" @Ahmad_Metallic said:

" @CrazyChris said:

" Pretty impressive they spent $50 million on a game I just learned it existed when I read it was cancelled. "

"

"

" @Jimbo said:

" "another $50 million down the drain"  This really is Vegas! "

I wonder how much of that money was spent doing "research".  "

" @Lucifer: It was suppose to be a third person shooter set in Vegas, Here is an old video of it. 
  

"

A while ago I started listening to my backlog of Bombcasts. Jeff talks about playing a bit of this in one of the first episodes. Madness I tell you.

Seems like they forgot to make people aware that it even existed. This is the first time I hear about it.

"The shocking thing isn't that the game was canceled, it's that it was ever given a $50 million budget to begin with. "

@Tebbit: I guess we just need to wait another twelve or so years, and TiV should be out by then :p