It never got canceled since it never got a publisher.  The studio is ready, willing and wants to make this if a publisher were to pick it up.

worked for the conduit......lets see if ign and go 2 for 2

Crazy video. The end was f'n creepy.

Needs a TON of polish, though. It looked very buggy.

And was it just me or did they use Lord of the Rings music when the dog was in the room?

They used the LOTR music. People need to understand that this is just a demo made by 12 guys on a 6 weeks period for a publisher that put some coins on the table. They don't have a huge budget, team or resources, plus this demo is 2 years old (read the interview)

was a pre-build from early 2007 and was meant as a pitch idea.

Yeah thats why I'm really interested in what these guys can do.  If they can do this 2 years ago just imagine what they can do now with more than 12 guys and 6 weeks.

Were publishers reluctant to pick up this project because it was a "Traditional" game, or were they reluctant to pick up this project because nSpace is a developer with a pretty spotty track record?

It looks good. Some of it looked a bit slow in spots though. It seems that the Wii is trying to bring back one of my all time favorite genres -- point and click adventures with action involved. It would be cool to see a new King's Quest or Gabriel Knight on there.

gotta remember the concept,demo, and pitch were made in 2007 a time when publishers and analysis were still deaming wii a fad and dismissing it.  Only in late 2008 after all the ROI came to light and the fact that the wii is here to stay became apparent to most publishers.  So hopefully I hope for the best with this project as more words get around.

My thought was that Geist is (probably) n-Space's highest profile and "best" game, and that game was released quite late and probably over budget ... and even then it was an interesting game that fell pretty far short of what it could be.