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One of things I haven't seen brought up yet is that since we know MS has the right of first refusal on all bungie future projects, we can assume that MS turned down whatever this project is. The only thing I can think of that MS would turn down would be a universe similar to Halo. If it were a call of duty based game I don't think MS would let bungie accept the project without MS being the publisher. In fact since Activision owns the Call of Duty universe I don't think it could happen at all without MS getting a piece of the pie.