Cinema Blend and CanMag have two completely different takes on the same event. Apparently, just before making an initial payment, Universal and Fox asked Microsoft and the producers to lower their profit-sharing on the Halo movie. Microsoft refused, and now Fox and Universal are out of the picture.

Cinema Blend says this means the Halo film is "almost dead" while CanMag assures us it means Microsoft knows the worth of the project and will easily find new studio backing.

The proposed budget for the project is reportedly $145 million (with a reduction to $128 million achieved by filming in New Zealand).

UPDATE: Related stories on Variety, Joystiq, Voodoo Extreme.