Universal and Fox Studios back out of Halo movie, Peter Jackson continues work
“What happened was this: Universal, on behalf of both studios, asked for a meeting with the filmmakers just prior to the due date of a significant payment. Basically, they said that in order to move forward with the film, the filmmakers had to significantly reduce their deals (Microsoft gets 10% of the movie profits). They waited until the last minute to have this conversation. Peter and Fran, after speaking with their producing partners and with Microsoft and Bungie (the studio that designed the original game), respectfully declined.”
While the exit of two studios would seem to imperil “Halo,” Ken Kamins (who represents Peter Jackson and Fran Walsh) said Microsoft is already in talks with other distribution partners. Prep work on the film continues, he said. One advantage is having Jackson and Walsh as exec producers: Most of the pre-production is being done at their visual effects studios in New Zealand, Weta Digital and Weta Workshop, so there will be no stoppage.
As word of the Universal and Fox exit spread, speculation centered around the inexperience of “Halo” helmer Neill Blomkamp, a 27-year-old first-time feature director. “Everybody is supremely confident in Neal,” Kamins said. “Part of what excited Peter and Fran was Neal’s vision. We’re very confident this film will move forward with the creative partners intact, who will take the film to production.”
Still rumors remain that the movie budget was reaching an expensive $200 million reports Variety. Via Joystiq
If THe BIG Studios Such as Unviersal and FOX couldnt Handle the High Demands and Conditions that the Halo movie put up.. I dont know who will 
