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Well, RE4 isn't actually an FPS, given that it is not played from the first-person perspective, and arguably not a shooter.

And yes, I prefer RE4's control scheme to Red Steel's (or COD's), but it won't work for a more fast-paced game, or if the enemies have more projectile weapons. For stop-and-pop games, it's wonderful.

So the basic Red Steel scheme should work for FPSs, if done right. It wasn't gracefully executed the first time around, however.