Michael Ancel has left Ubisoft to form his own studio, leaving Beyond Good & Evil 2 in limbo.
Source [http://multiplayerblog.mtv.com/2010/05/28/beyond-good-and-evil-2-shut-down-at-ubisoft/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed:+MultiplayerBlog+%28Multiplayer+Blog%29]."Beyond Good and Evil 2" didn't come out in 2009, and now any release date at all, be it in 2011 or 2012, may be in jeopardy. The news comes with a report out of France that creator Michael Ancel has left Ubisoft, possibly leading to the sequel's outright cancellation.
The game was announced back in 2008, but as recently as this past January even Ubisoft cautioned that "whether or not it comes out remains to be seen anyway." Obviously, this latest development will come as a bit of a shocker to those who have been patiently awaiting a follow-up to the franchise's first release from 2003.
Whether or not Ubisoft would carry on with the game without Ancel remains to be seen, as they have not officially declared an end to the title's development. Without a statement from the company, there's always a chance that it may live on or be passed to new hands, but things are not looking hopeful at this point. With any luck, someone out there will have the fortitude to pull this project through to the end.