Greenberg backtracks on Milo and Kate

Xbox director of product management Aaron Greenberg has clarified his earlier statements on the future of Lionhead Studios' Milo & Kate, to indicate that the game is merely not due for release this year.

"Project Milo absolutely continues in development at Lionhead Studios, it is just not a product we plan to bring to market this holiday," said Greenberg on Twitter.

Speaking on Australian television, Greenberg was previously asked why Milo and Kate was not featured at E3 2010, despite being so prominent at E3 2009.

"The Milo Project is something that Lionhead Studios in their labs had developed. Last year we unveiled the Project Natal technology, we showed a bunch of technology demos as part of that," said Greenberg at the time.

"And obviously [Milo] is a technology demo that continues to exist, but right now it’s not a game that we’re planning to bring to market," he added.

Clarification that the concept will still result in a retail product has also come from Lionhead Studios' Sam Van Tilburgh. As reported by website Joystiq, Van Tilburgh Twittered a imagine of the project's development team.

Although the exact status of the project remains unclear, Van Tilburgh indicated that, "There's about 50 people on the 'Project Milo Team'".

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