Updates 1 & 2: [check bottom of post] Our resident investigator Barnz has done some more digging in the Source Filmmaker script files, and he's uncovered probably some of the biggest news we've ever reported on our site. He's found many more references to a "Source 2", but not just one vague line like our previous entry. We're only one file deep, and already it's clear that the references to "Source 2" are indeed referring to a next-gen engine that Valve is currently developing. I'm only going to show one line in this post, but there are about 60+ references here, and this one line is probably the most telling. Here's the code paste at Pastebin.com, and this is the file path on the harddrive: ".../SourceFilmmaker/game/sdktools/python/global/lib/site-packages/vproj/vproj.py" Line 1387: '''Return an str with the current engine version.If key doesn't doesn't exist, assume 'Source', otherwise invalid -- assume next-gen 'Source 2'.''' There are references to Source, Hybrid, and Source 2 in this file. We speculate that Hybrid is the base for which Source 2 is sitting on. Barnz also says it looks like Source 2 is using the same pipeline as Source, meaning that it will probably be keeping its .BSP level format. We haven't found any references to DirectX or OpenGL yet, or Episode Three for that matter, but we're still investigating. The Ep3 reference from before was just a comment, so it's unlikely we'll find any more mentioning of it. Source Filmmaker was in development parallel to Source 2, hence why these script files have so many references to the new engine. Valve wants you to know that they "don't like to brag, but Source is considered the most flexible, comprehensive, and powerful game development environment out there. And it's about to get even better." We'll keep you posted if we find anything else! Or if you come across some new stuff, we'd like to help you share it with the world, so you can submit any findings to firstname.lastname@example.org. Update #1 Another member from Facepunch, GameDev, has pointed out that there are some new "Source 2 tools" icons stashed away in the SFM files. Here's a preview of a few of them: And the file names in their respective order... appicon terrain_tool_toggle_control_cage terrain_tool_select_verts terrain_tool_edge_smooth paint_tool_icon scale_tool_icon You can find these at: ".../SourceFilmmaker/game/platform/tools/images/hammer" Update #2 J*Rod from Facepunch has noted a few new things in his recap. First, now there's some evidence that suggests Source 2 will take more advantage of 64-bit systems. You can find the reference at: ".../SourceFilmmaker/game/sdktools/python/global/lib/site-packages/vproj/vprojUI.py" Line 1540: # Disable 64-bit for 32-bit projectsif ( self.engine in ENGINE.SOURCE_FAMILY ) or ( self.engine == ENGINE.HYBRID ):self***n32bitCheckBox.setChecked( True )self***n32bitCheckBox.setDisabled( True )else:self***n32bitCheckBox.setDisabled( False ) From what I can understand, this if/else statement is disabling 64-bit for 32-bit projects that are from either the Source, SFM (the 2nd engine from SOURCE_FAMILY), or Hybrid engines. But, it's not disabling 64-bit for Source 2, so the take away here is that it's suggesting Source 2 supports 64-bit. But it's not for sure as I don't understand the entirety of the code. You'll remember that Valve had implemented support for 64-bit in Source way back in 2005 with the release of The Lost Coast, but Valve hasn't added the support to any of their other games due to some cases of poor performance and glitches. Second, currently Valve's game models are of the MDL format. Well, it appears that Valve will be moving to a new format, VMDL. And the "V" prefix is popping up all over the place. VGAME, VPROJ, VMOD, VMDL, etc, which could support the fact that they're going to use a new filesystem and pipeline. From: ".../SourceFilmmaker/game/sdktools/python/global/lib/site-packages/filesystem/valve.py" Line 138: '''A "Valve Path" is one that is relative to a mod - in either the game or content tree.Ie: if you have a project with the content dir: d:/content and the game dir: d:/gamea "Valve Path" looks like this: models/awesomeProps/coolThing.vmdlTo resolve this path one must look under each mod the current project inherits from.So a project "test" which inherits from "another" would result in the following searches:d:/content/test/models/awesomeProps/coolThing.vmdld:/content/another/models/awesomeProps/coolThing.vmdl...''' And just as well, the key values that current Source games have are stored in a file called gameinfo.txt. It looks like Source 2 games will be storing these values in a gameinfo.gi.