A short while ago, we reported that a trailer for what appeared to be an DS-based Aliens game had been leaked onto the net, and that developer WayForward was involved.
The video was posted on YouTube with text suggesting that the game itself had been canned due to financial difficulties. The footage looked awesome, but was sadly pulled at Sega's request shortly after.
However, Kotaku is reporting that Gearbox Software's Randy Pitchford has confirmed that work on the DS version is continuing. Gearbox has no involvement with the DS version but is working on the other home console editions - so if anyone knows, it should be Pitchford.
So it looks like WayForward will be releasing its 'spiritual successor to Contra 4' after all - happy days!