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Gears is a hard title to classify. While Microsoft did fund, published, and marketed the game, Epic still owns it. However over the years Epic and Microsoft have become a bit close. While Epic have had Unreal Tournament 3 published on PS3 by Midway, Epic have later ported that title over to the 360 and even co-develop the recent game Shadow Complex for XBL. Not to mention Epic now has an office within the Microsoft Games Studios over in Redmond, Washington.

So even though Epic is third party, they sure act like first party.