GDC: Co-op and XBLA game Keystone confirmed for Fable 2
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Lionhead's Peter Molyneux has shown off co-op play in Fable 2 for the first time during Microsoft's keynote at GDC, and has announced an XBLA game called Keystone, in which players will be able to amass money then transfer funds into the Fable 2 "world".
Keystone is, apparently, a basic gambling game a little like craps. Co-op will be a drop-in affair, and available throughout the Fable 2.
Combat was also shown during the demo, in which X uses the sword, Y uses guns, and B does magic. Peter even showed the dog. You'd expect him too, wouldn't you?