Kameo II was in developoment at Rare, now dead

According to CVG, Rare was once developing a sequel to the popular Xbox 360 launch title Kameo. Unfortunately, after the developer restructured and shifted game development over to Natal, the game was thrown in the bin.
The first game didn’t sell so well, which also played a role in the game’s cancellation.
Rare was also developing a second title as part of an existing franchise — that was also canned. Let’s hope it wasn’t Killer Instinct 3.
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A real shame, Kameo was a great launch title!