I have the new KUJU/EA RailSimulator. It does a very good job with the foreign routes but the made the American trains too short, overpowered and they still had cabooses on modern freight trains. I don't know if they did this because it put less strain on the computer system and the fact that since it is made by a foreign company for a foreign market that they felt compelled to include the cabooses as they are a symbol of American railroading, or if it was just oversight by the developers. Overall it is very good, however you need a very good computer to take full advantage of it. It was solely developed by KUJU, EA was selected to translate, market, produce, pack and ship the game for the American market and had nothing to do with its creation.
As far as MSTS2 originally it started off in 2003 as a partnership between Microsoft and KUJU. The main improvements were adding people, turntables and making crashes more realistic. KUJU decided to drop out from the partnership. Microsoft Games Studios was unable to finish the project because it lacked enough developers to work on all the ongoing projects MSTS2 along with a few other titles was canceled.
Here is the Microsoft press release:
"April 24, 2004 — As you know, every business segment within Microsoft is responsible for continually evaluating its strategy and investments in all areas of the business to achieve operational efficiencies. At Microsoft Game Studios (MGS), we must continually evaluate our portfolio strategy and investments to ensure we are achieving our most important objectives of creating successful, platform driving titles for Windows gamers. In addition, Microsoft Games Studio must streamline game development operations to be more efficient and critically examine all projects in development to position the business for long-term success and profitability.
Microsoft Game Studios has canceled the Windows-based game "Train Simulator 2.0." The decision to cancel "Train Simulator 2.0" was made some time ago and was based on a long, hard and difficult look at our business objectives and product offerings. We remain focused on the simulations category with successful, platform-driving franchises such as "Microsoft Flight Simulator.""
MSTS2 was reannounced at the beginning of 2007. It is an entirely new game than the canceled MSTS2. The new MSTS2 will use the Flight Simulator X graphics platform, and is being developed by Microsoft Game Studios. Four routes will be included in MSTS2: 1. Horseshoe Curve (USA route) 2. Still Unknown (USA route) 3. BLS Lötschbergbahn (Europe route) 4. Still Unknown (Europe route). The release date is set for 2009 possibly Q1 or Q2. They seem to be keeping things pretty well under-wraps, there are a few great screen-shots floating around on the net but very little is know as of date.