However, in January 2009, Microsoft announced that they were closing down Aces Studio, postponing all development on MTS2 indefinitely. They also released a press kit that included several prototype images, in-game renders, and two videos demonstrating a global track corridor system and global network data. In August 2007, Microsoft showed a preview of the game at the Games Convention in Germany. They planned to use parts of the Flight Simulator X engine in order to develop the game. The second attempt to develop Microsoft Train Simulator 2 began in 2007 but was now being made by the Microsoft subsidiary Aces Studio, known for the Microsoft Flight Simulator series. However, just 3 months later Kuju would hand the development over to Microsoft Game Studios, who would eventually cancel the title in Spring 2004. A preview of the game was shown at the May 2003 E3. It was to feature new routes and trains, animated people, and functioning turntables among other additions.
The first attempt to make the game was in 2003, when a sequel was announced to be developed by Kuju Entertainment, the developers of the original Microsoft Train Simulator.
