When Universal and Fox backed out of financing the Halo movie, Microsoft and Executive Producer Peter Jackson insisted that production on the film would continue anyway. Microsoft immediately went out to start looking for new backers… and met a lot of closed doors. They've failed to secure new financing and so today, Peter Jackson and WingNut films announced that all production on the movie has halted.

Here's their official press release, currently being carried on ComingSoon: "As was previously confirmed, we deeply regret that both Universal and Fox did not choose to move forward with financing the Halo film under the original terms of the agreement. At this time Peter Jackson and Fran Walsh, along with their partner, Microsoft, have mutually agreed to postpone making a feature film based on the Halo video game universe until we can fulfill the promise we made to millions of Halo fans throughout the world that we would settle for no less than bringing a first class film to the big screen. We are fully supportive of Director Neill Blomkamp's vision of the film. Neill is a tremendously gifted filmmaker and his preliminary work on Halo is truly awe-inspiring. While it will undoubtedly take a little longer for Halo to reach the big screen, we are confident that the final feature film will be well worth the wait."

Microsoft has the money to make this movie without Hollywood, but apparently they aren't willing to do so. Hollywood on the other hand, isn't interested… in part because many of the big studios that can afford it are owned by parent companies which are Microsoft competitors. Is it possible that Halo will still get made? Sure. Just don't hold your breath.

I'm still with PJ and the Bungie guys on this though. Either do the movie right, or don't do it at all. They could have made it with Universal and Fox for a little less cash, they didn't. Good for them. We've had enough bad videogame sequels. We don't need another. It's time to take videogame movies seriously, or forget them altogether. Enough.

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