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Mistwalker founder Hironobu Sakaguchi has revealed that he is working on a new Xbox 360 title that is "50% MMO and 50% RPG," according to Total Video Games. Speaking at an anime event in Paris, France, Sakaguchi reportedly said that the project is not previously-announced titles Blue Dragonsequel or Cry On. (Though there has been talk about Blue Dragon 2going online.)
The announcement has not been confirmed and we have no other details, so consider this a rumor for now. Should the news end up being true, we just hope the 50% MMO and 50% RPG comment doesn't equate to twice the level grinding and only half the story of most genre-oriented games.