bladestorm91 said:
Doesn't the IP belong to Human Head Studios? Or rather who was the original owner and how did fall into the hands of Bethesda/ZeniMax?
I believe the IP was owned by 3D Realms of Duke Nukem fame. At some point after Prey's release they sold the IP to Zenimax who presumably looked at what 3D Realms had done with the sequel up to that point and yelled Aw Hell No.
Given the mess Gearbox inherited with Duke Nukem Forever it's perhaps not surprising that Zenimax decided to just call the project a dead loss and move on.