Bulletstorm 2 also canned after poor sales of the first game.
Epic Games has confirmed it has cancelled the development of Gears of War Exile, a spin-off from the main series rumoured to have been an on-rails Kinect shooter.
"Let's just bury the hatchet now," Epic Games design director Cliff Bleszinski told GameSpot. "Gears of War: Exile was an unannounced game that I can't give any details about that has since been cancelled."
A reveal had been intended for the 2010 Spike VGAs, but was pulled at the last minute.
And the Epic cancellations don't stop there, with Epic Games boss Mike Capps revealing that sales for People Can Fly's Bulletstorm weren't strong enough to greenlight a sequel, despite personally wanting to "see another project" in the series.
"I think Bulletstorm was very critically successful, and I think a lot of folks really enjoyed seeing something new," he told GameSpot. "From a sales perspective it was good, but not amazing. I think EA was hoping we'd do better."
In particular it was the PC version which really let the team down.
"It didn't do very well on PC and I think a lot of that was due to piracy," he added. "It wasn't the best PC port ever, sure, but also piracy was a pretty big problem."
However, People Can Fly is already at work on something else.
"We found a project that we thought was a better fit for People Can Fly. We haven't announced that yet, but we will be announcing it pretty soon."
Epic is currently known to be working on Fortnite, although details remain scarce.