With all the love that Crytek is currently showing Microsoft's Kinect with their upcoming title Ryse, it's no surprise that the two companies were once considering a more intimate relationship.
According to a report from Phil Spencer speaking to OXM, the famed developer of Crysis was in talks with Microsoft about being a first party developer some eight years ago.
Seeing as how Microsoft's console was already quite loaded with first person shooters of the militaristic flavor, the partnership was never formed. Now that Crytek has expanded its horizons beyond the FPS genre, perhaps we'll see closer ties between the two in the future.
[SOURCE]