It's been reported that Ubisoft confirmed that heavily-rumoured Red Steel 2 is indeed in development for Wii during an event in Cannes, France today.
The sequel is said to include a much-improved sword fighting system, and online multiplayer is also mooted in the report.
Ubisoft has, however, since come out to deny these claims, asserting that there has been no official confirmation of the sequel's development.
We'd be willing to lay money on it though. Like, £1.35 at least. All eyes on E3.