Epic Games announced that they have acquired the Polish PainKiller developer People Can Fly. PCF recently has been collaborating with Epic on the PC version of Gears of War. The two companies are working on a new product which Epic will be previewing in private at Games Convention in Leipzig, Germany this week.

PCF has showed Epic some prototypes earlier and Epic said:
"PCF showed us their early prototypes within only a few weeks and we were totally blown away."
You can read more about it on WorthPlaying.com