Climax is now working on Overlord: Dark Legend for Codemasters, but also they're working on a couple of games for Konami, check this:
"Climax are one of the leading creative lights of independent games development with a great history, but our future is even more exciting with awesome titles such Overlord: Dark Legend for Codemasters, our stunning and refreshing take on the horror genre and our original ground breaking next-gen game for the PS3 and the Xbox 360. "
http://www.climaxgroup.com/
Gee a horror game from Konami?? What could it be? Anyway Silent Hill need something to revive after the poor Homecoming and the hideous iPhone game.
I mean ... C'mon it's not difficult to make something better than this.