Rumor: Fable 2 already in development for 360?

What we heard: Considering its success on the current-generation Xbox, the probability of Fable going for another go on the Xbox 360 is about 99 percent. The original game was the product of Peter Molyneux's Lionhead Studios and was centered around the developer's trademarks: choice and morality. As gamers progressed throughout the game, their characters became a product of their gameplay. Do good, and see it reflected in a godly glow. Do bad, and see a demonic façade manifest.

However, game developers know that can't just pretty up the graphics, throw in some new "good" and "evil" appearances, and add more dungeons to the realm. They'll need to rope in fans of the fledgling franchise by adding some spiffy new features, and Web site Computerandvideogames.com claims to have knowledge of a big one.

According to the site, a source recently interviewed Molyneux, who gave the dish on one of the game's biggest additions. The unidentified source says gamers will once again begin as a boy and will be accompanied by a puppy. The dog will travel with the player's character throughout the game, and it will undergo similar transformations as its owner. Be a do-gooder, and watch the pooch glow like Rin-Tin-Tin. Raise hell across the countryside, and see the dog turn into a medieval Cujo.

Even CVG seems to take the claim cautiously, as it contacted Lionhead to confirm the claims of its trusty source. However, it was immediately met with a "no comment" from the developer. When GameSpot contacted the Fable team at Microsoft Game Studios, we were met with an identical response, but with an added smiley emoticon.

Bogus or not bogus?: The old "my friend said that his cousin knows this guy who said..." tunnel of info isn't always reliable, but we're taking the fifth on this one. Gamers will find out soon enough if and when the game is announced.